Data and information gathered by the Institute of International Finance, has shed light on the debt-to-GDP ratio across various countries, and Hungary is found to be in a position of relatively low debt-to-GDP ratio, which bodes well for the country and of course how investors view the country.
Economists, financial risk assessors, sovereign credit agencies, etc utilise the debt-to-GDP method of evaluation, comparing annual state debt to economic productivity, as part of their assessments. In this sense lower levels of Debt – to – GDP ratio, will imply that the country has the capacity to honour its loans and manage its debts.
