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Hungary Suffers from Capital Outflow

Published: January 9, 2013; 19:11 · (Vindobona)

Hungary´s banking industry faces a substantial loss of confidence. More and more Hungarians shift their deposits to foreign banks.

Hungary Suffers from Capital Outflow / Picture: © Flickr

Last year, Hungarians withdrew a substantial part of their deposits. About 1.0% of the GDP has been shifted to foreign banks. This corresponds to € 1.0bn. According to economists this is not comparable with the situation in Greece or Spain. However, the tendency shows a clear and persistent upward trend. Most of the savers who withdrew their deposits are high-income earners. According…

This article includes a total of 220 words.

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