At its 27 March monetary policy meeting, the Central Bank voted to leave the base rate unchanged at 7.00%, which was expected by most market analysts. Moreover, the Bank announced the introduction of a new two-year collateralised loan facility for domestic lenders at the Bank's base rate, which was offered for the first time on 3 April, in an attempt to boost liquidity in the financial system. The Bank expects growth to stagnate this year before picking up next year. Meanwhile, on the inflation side, monetary authorities anticipate inflation to rise significantly, reflecting the effects of increases in VAT and excise duties as well as the rise in oil prices and the depreciation of the forint exchange rate in the second half of 2011. Finally, the Bank highlighted the importance of a deal between the government and the IMF/EU to be reached as soon as possible, in order to reduce the risks associated with financing the government debt.
Hungary Monetary Policy
Central Bank introduces new domestic loan facility
March 27, 2012
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Hungary Economic News
October 11, 2016
In September, consumer prices rose 0.2% from the previous month, contrasting August’s 0.4% decrease.
October 7, 2016
According to preliminary data released by the Statistical Institute (KSH) on 7 October, industrial output in August rose a working-day adjusted 3.5% from the same month last year, rebounding from July’s 0.1% decrease and marking a four-month high. On a monthly basis, industrial production increased a seasonally- and working-day adjusted 1.6% in August, which followed July’s 0.3% decrease.
September 26, 2016
The GKI economic sentiment indicator advanced slightly from August’s minus 3.9 points, which was the lowest reading in over two years, to the still-low level of minus 3.6 points in September.
Hungary: Central Bank leaves base rate at 0.90%, continues easing monetary conditions by capping main deposit facility
September 20, 2016
The Central Bank of Hungary (NBH) held all rates constant at its 20 September monetary policy meeting, but continued easing monetary policy conditions by using unconventional monetary policy instruments.
September 9, 2016
In August, consumer prices fell 0.4% over the previous month, coming in below July’s softer 0.2% decrease.