Unicredit exec: Forex burden must be gradual
Unicredit CEE Division director Gianni Franco Papa yesterday declared that Hungary-based banks “should not be burdened all at once to help out borrowers who hold mortgages in foreign currency” in a forex loan bailout program.
Papa went on to suggest that “If the burdens are introduced gradually then the situation can be handled by the affected banks, companies, private individuals, governments and central banks.”
“The only thing that could really solve the problem would be if the Hungarian economy picked up,” Papa told international media last week. “We need a more stable situation between the government and the financial side but not only the financial side [so that] there is confidence coming back to the country, the economy, and therefore the exchange rate of the forint will improve.”
Unicredit branch Bank Austria currently has about €500 million in forex-based loans outstanding in Hungary.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
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.