Banknote Blog

Hungary’s 1946 Hyperinflation The Worst Inflation in History and the Fall of the Pengő Post-War Chaos and the Seeds of Hyperinflation In the aftermath of World War II, Hungary’s economy was in ruins. The war had obliterated roughly 40% of the nation’s wealth, with an estimated 80% of the capital city, Budapest, left destroyed. Infrastructure was shattered – nearly half of rail lines were wrecked and many factories lay in rubble. On top of this physical devastation, Hu …