Hungarian burden for Austro-banks

Central- & Eastern EuropeHungary ♦ Published: July 9, 2010; 00:00 ♦ (Vindobona)

Raiffeisen International (RI) CEO Herbert Stepic expressed his concerns during a general conference.

Hungarian burden for Austro-banks / Picture: © Flickr / St. Petersburg International Economic Forum

The bank tax in Hungary had a "big" impact on the industry. Some institutions could therefore slip into the red. Moreover Stepic sees a risk in other Eastern European countries following Hungary’s lead and also implementing a bank.

The analysts have cut profit forecasts for Erste Group because of the Hungarian tax.

The bank tax would amount to 45 basis points of adjusted…