Hungary's first quarter GDP rose 4.5% y/y, in-line with the market consensus, and came 1% over 4Q05 according to preliminary figures released by the Central Statistics Office yesterday. Growth was driven primarily by the financial and the processing sectors, while tourism and agricultural production slowed, Ecostat director Pál Bélyó commented, according to business daily Napi Gazdaság.
In a separate development, Prime Minister Mr Ferenc Gyurcsány promised on the first meeting of the Parliament yesterday to announce the government's detailed reform plans in two weeks time. We see both news as neutral.