Hungarian National Bank Cuts Interest Rate Again

Politics ♦ Published: January 30, 2013; 10:09 ♦ (Vindobona)

At its meeting on 29 January 2013, the Monetary Council reviewed the latest economic and financial developments and voted to reduce the central bank base rate by 25 basis points from 5.75% to 5.50%, with effect from 30 January 2013.

Hungarian National Bank Cuts Interest Rate Again / Picture: ©

In the Monetary Council’s judgement, economic growth is likely to resume this year following last year’s recession. The level of output will be below its potential and unemployment will remain above its long-term level determined by structural factors. The Council expects weak demand conditions to persist, which will ensure that inflation returns to rates close to the 3% inflation…