The Council said it was necessary to maintain tight monetary conditions over a prolonged period, “which will ensure that inflation expectations are anchored and the inflation target is achieved in...
Barnabás Virág said Hungary’s economy had managed to “avoid grave scenarios” and growth remained above the European Union average.
The Monetary Council also decided on Tuesday to raise the O/N deposit rate by 100 basis points to 11.25 percent and the O/N and one-week collateralised loan rates by 100...
The Council said inflation risks warrant a further tightening of monetary conditions.
The central bank base rate was raised by 30 basis points to 0.90 percent at a monthly policy meeting on Tuesday.
The council said that the central bank’s 3.0 percent inflation target is expected to be achieved by the middle of 2019, one quarter later than in a projection released three months earlier
The bank also cut its overnight collateralized loan rate by 15 basis points to 0.9 percent, narrowing the interest rate corridor
The bank could maintain loose monetary conditions until 2018-2019