Hungarian consumer confidence plunges in August to lowest since April 2020

Hungarian consumer and business confidence both deteriorated further in August, a survey by think tank GKI showed on Monday, with households’ confidence plunging to its lowest since April 2020, the first wave of the COVID-19 pandemic.

Hungarian households turned gloomier about their financial prospects amid a surge in inflation and energy prices.

“The GKI consumer confidence index is in a freefall,” the think-tank said. “Consumers’ inflationary expectations strengthened further in August after a pause in July.”

GKI’s consumer confidence index plunged to minus 49.2 points from minus 41.7 in July, and was down sharply from minus 17 in February. The overall index, which includes both households and businesses, fell to minus 14.3 points from minus 9.4 in July.