ADVERTISEMENT

IMF agreement “automatic” if Hungary meets EU conditions

EU

Hungary will "automatically" meet conditions for a precautionary financial assistance agreement it is seeking from the International Monetary Fund (IMF) and the European Union, if it makes fiscal adjustments requested by the EU by June, Fiscal Council chairman Árpád Kovács said at a forum organized by the American Chamber of Commerce (AmCham) on Wednesday.

Kovács said the road to Washington leads through Brussels.

The EU decided last week to suspend part of Hungary's Cohesion Fund allocation from 2013 if the country fails to take sufficient measures to bring its fiscal deficit under the 3%-of-GDP threshold. EU finance ministers are set to consider lifting the suspension at a meeting in June.

Kovács said the agreement with the IMF was important for investor confidence rather than for economic performance or the financing of Hungary's state debt. He added conditions for financing that debt on the market would be far harder without the agreement.

ADVERTISEMENT

Regional income disparities remain pronounced Analysis

Regional income disparities remain pronounced

Parliament approves amendment to Competition Act Parliament

Parliament approves amendment to Competition Act

New CEO announced at Codic Hungary Appointments

New CEO announced at Codic Hungary

FAO–Food Bank convoy delivers food to those in need City

FAO–Food Bank convoy delivers food to those in need

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.