Hungary has signed a supplementary agreement with the European Union that will allow it to draw on the third tranche of a loan from Brussels, the Finance Ministry said on Friday.
Hungary will call down the 1.5 billion euro tranche by the end of the month.
The loan is part of a 20 billion euro financial support package from the IMF, EU and World Bank that Hungary signed for last autumn, after its government securities market locked up.
Hungary called down 2 billion euros from the EU loan in December and another 2 billion euros at the end of March. Before an agreement was reached on calling down the third tranche, representatives from the European Commission came to Hungary for talks between May 7 and 18 to check whether the country was complying with the conditions of the loans. IMF representatives checked for compliance at the same time.
During the talks, the lenders agreed to allow Hungary to raise the budget deficit target from 2.9 percent of GDP to 3.9 percent.