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Seasonally adjusted Q2 figures showed 2.1% growth over the previous quarter. The total value of investments was HUF 985.6 billion (USD 4.97 billion) at current prices in April-June.
Second-quarter investment growth compares to 6.8% year on year in the first quarter of 2005, and thus brings investment growth for the year to date to 8.3%, for total investment value of HUF 1.67 trillion (USD 8.66 billion) in the period.
The volume of machinery investments was up 4.2% in Q2 to HUF 422.9 billion, while construction investments increased by 13.9% year on year to HUF 547.0 billion. Growth rates for the first half were 3.6% and 13.2%, respectively.
In a breakdown by sector, growth was by far the most dynamic in the transport, storage and communications sector, the third largest by investment volume. Growth in Q2 was 40.9%, matching the dynamic pace of the first quarter, and was driven by motorway and road building projects, according to the KSH.
The two largest sectors showed slower than average growth, although both picked up after lackluster performances in the first quarter. Growth in manufacturing investments was 8.3%, in Q2, bringing H1 growth to 5.6% thanks to an upturn in vehicle and electronic equipment manufacturing investments.
The largest sector, real estate, renting and business activities, showed 5.2% growth in investments in Q2, reversing a decline in Q1 and bringing growth for the January-June period to 1.7%. The upturn was due to increased activity in home building, although the sector showed more modest growth than in previous periods, according to the KSH. Investments in this segment were up 13% last year.
