Magyar Nemzeti Bank
January 26, 2016
Hungary’s base rate was left at 1.35% as expected after the first monetary council meeting of 2016. This level represents a record low. From March through July of last year, it was cut 15 basis points each monthly meeting and dropped to 1.35% from 2.10% as a result. Today’s statement talks of slower growth, a longer interval before Hungary’s negative output gap disappears, a consequential need to keep monetary conditions in Hungary very loose of the entire forecast horizon, and addition risk from deteriorating global financial markets this month. Officials seek lower long-term interest rates.
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Tags: Magyar Nemzeti Bank