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New debt manager seeks to broaden range

Gyula Pleschinger, the new CEO of Hungary's Government Debt Management Agency (ÁKK), wants to broaden the range and number of investors that buy Hungarian securities while maintaining the existing base, and he is considering the introduction of new products.

Pleschinger said he would present long-term plans after consulting with ÁKK's management, speaking after he officially took up his duties at a ceremony on Tuesday.

Among the short-term plans Pleschinger outlined were measures to establish closer relations with investors as well as securities traders and analysts, notably analysts at rating agencies. More input for them would serve to stabilize and expand the circle of investors that buy Hungarian securities, he said.

ÁKK will look into establishing new retail distribution channels that could boost the sale of government securities to private individuals, Pleschinger said.

He added that ÁKK would review its active debt management instruments with the aim of minimizing exchange rate risk, and this could involve the introduction of new products.

Pleschinger said his short-term plans are based in part on ÁKK's existing cooperation with other debt managers in the region.

Pleschinger said he learnt about ÁKK's operations as the CEO of OTP Bank's securities arm, OTP Értékpapír, as well as working as deputy-CEO of Raiffeisen Bank.

Pleschinger replaces Ferenc Szarvas, whom National Development Minister Tamás Fellegi appointed to serve as chairman-CEO of Hungary's state-owned railway company MÁV in July. (MTI – Econews)