Economist forecasts for Hungarian economy

According to a report on the period up to 2006 published by the Economist Intelligence Unit (EIU), the Hungarian economy looks set to show slow but steady growth, with the export sector producing exceptionally good results despite the strong forint and the halt in expansion of the major export markets. Capital investments are to increase as a result of competitive goods exported, and in 2006, the growth rate of GDP is expected to reach 4%. On the down side, the report states the state deficit may be larger than planned, there may be a delay in joining the Euro zone, and the inflation rate may be underestimate. (Vg 4) E.C.