Report: Brokerage scandals lower trust

History

The recent scandals surrounding brokerage firms in Hungary are expected to lower overall trust in the financial sector and Hungarian politics overall, Hungarian online daily origo.hu reported citing Gergely Rajnai, an analyst for the Center for Fair Political Analysis.

The analyst said that since compensation will affect a few individuals as compared to the remainder of the Hungarian population who have not invested their money in brokerages, the effects on society as a whole are expected to be slight.

“Both political sides will try to turn the recent financial scandals to their advantage, which is not beneficial as it prevents the truth from being revealed” Rajnai said. Yet, it is the governing political power which might get the shorter end of the stick, according to Rajnai, as “they have been in power for five years now, and they have not changed the regulatory environment, therefore they are responsible for the current situation”.

ADVERTISEMENT

Number of Bank Branches Continues Decline Banking

Number of Bank Branches Continues Decline

Gov't to Launch HUF 20 bln Workers Hostel Program Government

Gov't to Launch HUF 20 bln Workers Hostel Program

Transport Minister Submits Train, Bus Fare Reform Plan to Go... Transport

Transport Minister Submits Train, Bus Fare Reform Plan to Go...

Heineken Balaton Sound Announces 1st Phase Lineup In Hungary

Heineken Balaton Sound Announces 1st Phase Lineup

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.