Govt to review MÁV, BKV debt consolidation
The government will review a planned consolidation of the debts of state-owned railway company MÁV and Budapest's public transport company BKV, National Economy Ministry deputy state secretary Peter Benő Banai said on Thursday, answering a question by MTI.
Under a government decree published early August, the state is to take over up to HUF 300bn of debt from state-owned railway company MÁV and up to HUF 78bn of debt from the capital's local transport company BKV. Under the decree, the 2011 budget was to be modified because of the takeover.
Since the decision to take over the debts was taken, trends on global markets and their effect on Hungary have prompted the government to review the decision, Banai said. Based on this review, the government will decide whether the debt takeover should take place or whether it should be modified, he added.
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.