Banks to Draft Lending Recovery Plan
Image by Shutterstock.com
The Hungarian Banking Association agreed to draft a package of measures banks can take to support the recovery of the lending market at a meeting with Minister of Economic Development Márton Nagy, his ministry said in a release on its website this week.
"The [...] minister established that the banking sector is generating windfall profits, which would justify the introduction of a bigger windfall profit tax or a new bank levy. However, at present, the economy needs this money more than the budget, so the government expects banks to make greater efforts in the interest of supporting the lending recovery," the ministry said.
Lenders should "actively participate" in state-subsidized credit programs such as the Széchenyi Card Program and the Gábor Baross Reindustrialization Credit Program for businesses, or home purchase programs for retail borrowers.
The sides agreed at the meeting that financial system players, "especially banks," are operating stably, while their liquidity, capital and operating profitability "shows a favorable picture."
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.