At its latest monetary policy meeting on 28 March, the Central Bank left the benchmark rate unchanged at 6.00%, in a decision broadly anticipated by the market. The move follows on a similar decision in February. As in previous meetings, the Bank maintained that inflation is ?expected to be considerably above the Bank's 3% target in the short term, due to significant cost-push shocks hitting the economy?. These shocks include rising international commodity prices and a windfall tax on energy, telecommunications as well as on large retail companies. However, the Bank indicated that inflation ?may fall back close to the target by the end of next year even without further monetary tightening?, suggesting that the Bank will continue with its wait-and-see approach in the months ahead.
Hungary Monetary Policy
Central Bank remains on hold
March 28, 2011
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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.