Hungary's government has slashed its economic growth forecast for 2025, reflecting a sluggish economic recovery and rising inflation.

The decision to adjust the economic growth forecast for 2025 comes against the backdrop of a sluggish economic recovery in Hungary, hit by high inflation triggered by Russia's invasion of Ukraine. The new estimate, 0.8% according to the Hungarian central bank and 0.9% according to the OECD, marks the weakest economic performance in three years under Viktor Orban. The government plans to implement social measures to counter the negative effects.