29 July 2016
Hong Kong-Hungary Trade Surges by 23.7% Year-on-Year
No longer a no-go area for businesses, Central and Eastern Europe eclipses Eurozone in growth terms.
Hong Kong's trade with Hungary has surged over the last 12 months. At the same time, according to locally-sourced statistics, the country has benefited from the overall GDP growth rate across Central and Eastern Europe, a figure that has outstripped comparable economic performance across the Eurozone.
In terms of Hong Kong, its total exports to Hungary grew 23.7% year-on-year to reach a total of US$860 million. At the same time, its imports from Hungary saw a comparable increase, growing by 20.9% to a total of US$126 million. This sees total trade between the two now valued at some US$986 million.
At the same time, Hungary has been bolstered by economic growth across the CEE region. In 2015, the region enjoyed GDP growth of 3.1%. This was nearly double the 1.6% growth recorded in the Eurozone. According to a joint statement by four of Hungary's leading businesses – The Skanska Group, Dentons, JLL and ABSL – the country's GDP is expected to grow by 2.1% over the next 12 months.
As a sign of Hungary's growing significance within the CEE region, its total volume of commercial real estate transactions in was valued at €790 million in 2015. This accounts for some 9% of the total €9 billion volume within the CEE region.
Commenting on the changing status of Hungary and the wider CEE region, Paweł Dębowski, Chairman of Denton's European Real Estate Group, said: "Central and Eastern Europe is now viewed as Europe's 'darling' by an increasing number of EU institutional investors, including a number of UK-based businesses. More recently, it has also started to attract significant interest in North America, South Africa and the Far East. It is an attractive and safe region which has seen sustained improvements to its business environment."
In other developments, the CEE region has been cited as one of the least hazardous parts of the world to do business in by the Sydney-based Institute for Economics and Peace. In particular, Hungary was singled out one of the world's 25 safest countries for businesses to operate in.
Beata Balazs, Budapest Consultant