Hungarians cautiously open their wallets a little bit
The 0.8% growth in August represents a correction after the 0.5% decline in July, confirming the slow growth trend. Store turnover is growing at an annual rate of around 2.5-3%, driven by growth in real incomes. At the same time, the restructuring of the population's consumption patterns is reflected in the fact that, despite a 5% increase in total household consumption, physical store turnover has been lagging behind for years.
The third quarter shows slightly weaker dynamics than usual over the past year and a half, and according to our calculations, it will not contribute significantly to quarter-on-quarter GDP growth.
Looking at the sub-sectors on an annual basis, it can be seen that sales volumes adjusted for calendar effects increased by 2.3% in food and food-type mixed stores, 4.9% in non-food retail, and 2.2% in fuel retail compared to the same period of the previous year. High growth was seen primarily in clothing stores (8.7%), pharmacies, and industrial goods (6.6-6.6%).
Cover photi (for illustration purposes only): Getty Images
