Hungary jobless rate drops to 8.6pc in Dec-Feb

Budapest, March 28 (MTI) – The average unemployment rate among Hungarians between the ages of 15 and 74 was 8.6 percent in December-February, the Central Statistical Office (KSH) said today.

The rate was the lowest registered in the age group since a 8.4 percent rate between November 2008 and January 2009. The jobless rate was down from 8.9 percent in November-January and from 11.6 percent in the same period a year earlier. The employment rate, at 53.2 percent, also rose to its highest level measured since the start of 2008.

The government’s winter public work-programme affects 200,000 people, half of whom are involved in a European Union-funded training programme.

The number of employed averaged 4,052,800 in December-February, the highest number since the start of the time series in 2008. The figure rose by 22,600 from November-January and was up 235,600 in one year.

The activity rate rose to 58.2 percent after stagnating at 58.0 percent for five consecutive three-month periods. There were 379,400 unemployed in the 15-74 age group in December-February, 13,100 less than the average in the previous three-month period and 122,500 less than a year earlier.

The jobless number included 266,100 between the ages of 25 and 54.

Analysts polled by MTI welcomed that unemployment was down, but added that the improvement was mostly due to public works schemes.

Erste Bank senior analyst Gergely Gabler said that public works had greatly contributed to a higher employment figure, but noted that there was noticeable improvement in the private sector, too. “A tendency of improvement has started but it is not as spectacular as the main figures suggest,” Gabler said.