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Hungary Faces Fiscal Crisis Ahead of 2026 Elections

3/24/2026

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Story summary
  • Hungary's April 12, 2026 election will force the new government to address rising social spending, per S&P Global.
  • S&P Global says the budget deficit reached nearly 40% of the target in early 2026 due to spending by Viktor Orban, Hungary's prime minister.
  • S&P warns that without fiscal consolidation, Hungary risks a ratings downgrade.
  • Goldman Sachs lowers Hungary's growth forecast to 1.6% due to energy price shocks increasing inflation and costs.