Hungarian consumer confidence falls in May amid surging inflation By Reuters

BUDAPEST (Reuters) – Hungarian consumer and business confidence worsened in May after an improvement in April, a survey by think tank GKI showed on Monday, as households turned gloomier about their financial prospects amid a surge in inflation.

With soaring energy costs and the war in neighbouring Ukraine fuelling further price pressures, the National Bank of Hungary (NBH) faces the challenge of fighting persistent inflation while maintaining momentum in the Hungarian economy.

The NBH has said that inflation, which was running at 9.5% year-on-year in April, its highest level since June 2001, was expected to rise further in coming months and average between 9% and 10% this year.