Hungarian central bank holds rates at 7.5%
Hungary’s central bank on Monday held its main interest rate at 7.5% for the second month in a row.
The interest rate had topped out at 8% in October 2006 as the central bank fought the effects of rising inflation, brought on by government austerity measures. The bank began cutting again last June as inflation fell away from a peak of 9%, but it has been cautious in the face of recent poor wage data and a slower than expected fall in inflation. The government introduced its austerity measures in an attempt to cut back the huge budget deficit, which at 9.2% in 2006 was by far the largest in the EU. Hungary’s currency advanced as much as 1.3% to 254.12 per euro, and was trading at 256.51 by 11:44 a.m. in Budapest, from 257.51 on Nov. 23. (m&c.com, bg)
SUPPORT THE BUDAPEST BUSINESS JOURNAL
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.