Central bank raises base rate 50bp to 7.75%


The Monetary Council of the National Bank of Hungary (MNB) decided to raise the central bank base rate to 7.75% from 7.25%, effective Tuesday, at a rate-setting meeting on Monday, the bank said.

The rate rise was widely expected, with some of the analysts expecting a 25bp raise and others a 50bp hike.
The Monetary Council has been raising the base rate at each of its monthly rate-setting meetings since June. Before the June rise, the base rate was unchanged since September 20, 2005, when it was reduced 25bp to 6%.
The Monetary Council said early July it planned to gradually increase rates to bring inflation in line with its midterm target of 3% by 2008, as well as to prevent a temporary pickup of inflation resulting from tax hikes in the austerity package raising inflationary expectations.


Consumer price levels below EU avg in 2020 Analysis

Consumer price levels below EU avg in 2020

Lawmakers approve 2022 budget Parliament

Lawmakers approve 2022 budget

Dentons rehires banking and finance partner Appointments

Dentons rehires banking and finance partner

Budapest hosting 2024 Chess Olympiad City

Budapest hosting 2024 Chess Olympiad


Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.