30-Basis Point Hike in Hungary’s Central Bank Base Rate
June 22, 2021
Today’s rate hike at the National Bank of Hungary from 0.60% to 0.90% reverses a pair of 15-basis point reductions in June and July of 2020 and represents the first increase since a 50 basis point move to 7.0% in December 2011. The backdrop to today’s action is inflation (now 5.1%) that is above the 2-4% target, the expectation of officials that it will remain above target during the second half of this year, and faster-than-assumed economic growth in several economies including Hungary.
Copyright 2021, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: National Bank of Hungary
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