Central bank report critical of convergence programme progress

MNB

Hungary's budget veered from the convergence plan by 2% of GDP in 2004 and as much as 3% of GDP in 2005, according to the central bank's "Report on the Convergence Process" published on Monday. The report noted that the average inflation rate between October 2004 and November 2005 was 4.1%, compared to the 2.4% target under the convergence programme. The accrual-based general government deficit was 6.5% of GDP, even accounting for the effect of pension reform, compared to the 3% of GDP mark in the convergence programme, the report said. Hungary's state debt reached 60.5% of GDP in 2004, compared to the 60% limit in the convergence programme, while long-term interest rates averaged 6.8% over the past 12 months, compared to the targeted 5.5%, the central bank said.

ADVERTISEMENT

Budapest Named 5th Best City in Europe for Bargain Lovers Analysis

Budapest Named 5th Best City in Europe for Bargain Lovers

Parl't approves 2023 budget Parliament

Parl't approves 2023 budget

Danubius Hotels Appoints Group Director of Development Appointments

Danubius Hotels Appoints Group Director of Development

Muni Council Organizing Meeting to Improve Air Quality City

Muni Council Organizing Meeting to Improve Air Quality

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.