The Monetary Council of the Hungarian National Bank (MNB) increased its base rate from 9.5 percent to 12.5 percent on 28 November
Published:
2 December 2003 y., Tuesday
The Monetary Council of the Hungarian National Bank (MNB) increased its base rate from 9.5 percent to 12.5 percent on 28 November, the same day that the national currency had weakened to 270 forints to the euro,
Hungarian dailies and the central bank's website (http://www.mnb.hu) reported. After the MNB's move, which was supported by Finance Minister Csaba Laszlo, the forint strengthened to 263 to the euro. Governor Zsigmond Jarai told Hungarian radio on 29 November that the central bank took the decision to assure foreign investors that its 2005 inflation target of 4 percent will be met.
The rise in Hungary's current-account deficit has caused uncertainty among foreign investors, Jarai explained. He did not rule out the bank reducing its base rate again within a few months. Hungarian Banking Association Chairman Rezso Nyers told the MTI news agency that banks were shocked by the "negative surprise," while the Financial Research Institute's Judit Nemenyi warned that overvaluing the forint would further increase the deficit, not reduce it.
Šaltinis:
rferl.org
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
During the meeting, which took place on 3 September 2009 the Bank of Lithuania approved the transaction, according to which AB Bank SNORAS will acquire 100 percent of the shares of AB “Finasta įmonių finansai” owning AB bank “Finasta”.
more »
The European Commission tabled yesterday its proposal on fishing possibilities for fish stocks in the Baltic Sea for 2010.
more »
Members of the Civil Liberties Committee voiced concern on Thursday over the interim agreement under negotiation between the EU and the United States on data transfers via the SWIFT network.
more »
Consumers in Cyprus, the Czech Republic, Hungary, Poland, Romania and Slovenia now have access to consumer magazines and websites, which provide independent, comparative testing of consumer products, following a three-year EU project co-financed by the European Commission.
more »
Funds management company “SNORAS Asset Management” will establish the first alternative investment fund in Lithuania - “SAM Renewable Energy Fund”.
more »
The re-launched Lisbon Partnership for growth and jobs has put innovation and entrepreneurship at the centre and called for decisive and more coherent action by the Community and the Member States in view of mastering the shift towards knowledge based low carbon economy.
more »
Helping dairy farmers now, as well as restructuring the dairy sector in the long run, is the way out of the current milk market crisis, Agriculture Committee MEPs told Agriculture Commissioner Mariann Fischer Boel in a debate on Tuesday.
more »
The EU is phasing out traditional light bulbs over the next three years in favour of a new generation of energy-efficient lighting.
more »
Lithuania increases the VAT rate from 19 % to 21 % from September 1, 2009.
more »
Two recent joint missions from three development finance institutions helped Thailand identify low carbon projects that could be eligible for Clean Technology Fund financing.
more »