Hungary’s budget deficit came to 1.9 percent of gross domestic product (GDP) in 2012, well under the 4.0 percent average for all European Union member states, data compiled by Eurostat showed. Hungary’s budget deficit was the seventh lowest in the European Union. [more]
The renewal of Hungarian monetary policy has “only just begun,” Gyorgy Matolcsy, the new governor of the National Bank of Hungary (NBH), told MTI in an exclusive interview. Price stability and financial stability are “fine” but the operation of the domestic financial system is too costly, Matolcsy said in his first interview since taking up his new post just over a month ago. [more]
Hungary’s new euro convergence plan projects faster growth, smaller deficit – but slower euro adoption
Hungary’s updated convergence plan forecasts faster growth and more reductions to the budget deficit between 2013 and 2016, the Economy Ministry said on Tuesday. Meanwhile, the economy minister said it would be a long time before Hungary would be able to meet the criteria for joining the euro zone. [more]
Hungary’s fast-expanding re-nationalisation programme, led by former anti-Communist activist Viktor Orban, on Thursday took a great leap forward. MVM, the state electricity company and emerging energy combine, is to pay around €870m for full control of E.ON Földgáz Trade and E.ON Földgáz Storage, the Hungarian gas trading and storage companies currently owned by Germany’s E.ON.
Speaking at some kind of “Investor of the Year” award gala last night in Budapest, Economy Minister Mihály Varga went out of his way to stress that, unlike Cyprus, Hungary had never even considered taxing bank deposits as a way to raise revenue. [more]
The forint is likely to trade well above the 290 HUF/EUR mark until plans of Gyorgy Matolcsy, the new central bank governor, become clearer for market participants, London-based emerging markets analysts said on Monday. [more]
The forint strengthened on the interbank market on Wednesday morning, trading in a narrow band around HUF 287.40 to the euro, as Hungarian Economy Minister György Matolcsy for a third day refrained from saying anything stupid and inflammatory. [more]