Prosperity and Sustainability: Problems, Fact and Illusions

HUNGARY - Presentation 04 May 2017 by Istvan Racz

While the commitment to improve macro equilibrium and financial stability is strong, the country faces issues that are hampering stronger growth. These include low fixed investment, investor-unfriendly policies, a shrinking labor pool and unsustainably high wages, an exchange rate dilemma and the possible contractionary effect of the early depletion of EU allocations. Decent growth in 2017-2019 will be followed by a setback. For charts and tables on these and other topics, see the presentation.

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