Hungary

No need to change MNB council makeup says ECB

In a statement made on Tuesday 9 November, the ECB commented on planned changes to Hungary's Central Bank Act saying that "the current Monetary Council rules in force are compatible with central bank independence and provide an appropriate framework for…

Jarai says central bank changes still unlawful

Zsigmond Jarai, president of the Hungarian central bank, told a conference on Thursday 28 October that despite minor adjustments submitted to planned modifications to Hungary's Central Bank Act, the intentions driving the changes are still "wrong,…

Hungary central bank sees tensions with govt

Hungary may be able to cut interest rates further if inflation comes down as expected, but tensions between the central bank and the government will limit the scope for rate reductions, central bank president Zsigmond Jarai said.

Hungary's Jarai against cb reform proposal

The president of Hungary's central bank (MNB), Zsigmond Jarai, has criticised a proposal to increase the number of members of the MNB's Monetary Council from nine to eleven and to allow the prime minister to choose five of the eleven members and approve…

Socialists deny move to allow removal of Jarai

The governing Hungarian Socialist Party (MSZP) categorically denied a report Wednesday by the daily Magyar Nemzet that the party is preparing legal modifications that would allow the removal of Zsigmond Jarai, governor of central bank MNB.

Hungary cuts rates by half percent

The central bank of Hungary reduced the base rate by half a percentage point, from 11.5 percent to 11 percent, when it met on 16 August. While the central bank pointed to improvements in the economy as the cause, it is thought that a desire to weaken the…

Hungary cuts rates by half percent

The central bank of Hungary reduced the base rate by half a percentage point, from 11.5 pe rcent to 11 per cent, when it met on 16 August. While the central bank pointed to improvements in the economy as the cause, it is thought that a desire to weaken…

Ecofin unlikely to press Hungary on deficit

The council of European Union finance ministers (Ecofin) is scheduled to evaluate Hungary's convergence program on July 5, and preliminary consultations do not indicate that the council will urge Hungary to speed up its budget deficit reduction plans,…

Hungary's central bank cuts base rate to 12.25%

The Monetary Council of Hungary's national bank (MNB) cut its base rate by 25 bp to 12.25% at its Monday meeting. The MNB said as a result of improving external and internal economic developments, the conditions for meeting the end-2005 inflation target…

Hungary to delay Euro adoption to 2010

Hungary's new Finance Minister Tibor Draskovics was quoted as saying that the country will probably postpone the adoption of the Euro to 2010 from 2008 because of high inflation and budget deficits.

Forex volatility in EU accession countries

This IMF Working Paper analyses foreign exchange market volatility in four Central European EU accession countries in 2001-2003. It shows that periods of high volatility seem to be cross-correlated for Hungary, Poland and Czech, Slovak Republics. It…

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