BUDAPEST: The National Bank of Hungary (MNB) reduced its projection for investment growth this year to 2.2% from the previous 5.2%, according to its quarterly Inflation Report published today.
The MNB noted that gross fixed capital formation had decreased in the first quarter, mainly because of a fall in public sector investments after the utilization of European Union monies peaked during the 2007-2013 funding cycle wind up.
The MNB projected investments would decline by 2.1% in 2016, even more than the 1.2% drop forecast in the previous Inflation Report.
