Unnecessary moratorium participation can hurt recovery - MNB

MNB

MNB headquarters in Budapest.

The National Bank of Hungary (MNB) warned in a release on its website that borrowers who remain in the repayment moratorium, even if they can start making installments on their loans, could drive up lenders' impairment and slow the pace of the recovery.

The central bank and financial market regulator again urged borrowers who have the means to leave the repayment moratorium rolled out by the government in the spring of 2020 to ease the economic fallout from the coronavirus crisis.

It noted that the rate of retail borrowers still participating in the moratorium fell from 54% at the end of 2020 to 48% in June.

"It is of crucial importance that the majority of borrowers participating in the repayment moratorium today restart their installments, as have the many clients who have already left the backstop, for their own financial good; and that only those who are in genuine need of this safety net should participate in the extension of the moratorium," the MNB said.

Number of Thefts in Capital Edges Higher in 2023 Figures

Number of Thefts in Capital Edges Higher in 2023

Magyar Drops Audio Suggesting Gov't Meddling in Corruption C... Government

Magyar Drops Audio Suggesting Gov't Meddling in Corruption C...

Spring Weather Raising Interest in Leisure Products Retail

Spring Weather Raising Interest in Leisure Products

Hungarian Wine Marketing Agency to Host Summit Drinks

Hungarian Wine Marketing Agency to Host Summit

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.