Hungarian Monetary Policy Left Unchanged
November 17, 2015
Hungary’s central bank interest rate was kept at 1.35%. A released statement notes continuing spare capacity and low inflation. The output gap is not expected to close completely until the end of the forecast period, and stable inflation expectations in line with the target is seen. “If the assumptions underlying the Bank’s projections hold, the current level of the base rate and maintaining loose monetary conditions for an extended period, over the entire forecast horizon, are consistent with the medium-term achievement of the inflation target and a corresponding degree of support to the economy.” The key interest has been at 1.35% since a 15-basis point cut in July.
Copyright 2015, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Magyar Nemzeti Bank
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