“Our decision on accepting the proposal will be based on whether obligations and rights in the new system will be equivalent. After a cursory reading, our understanding is that they will not,” she said.

She added that accepting the supervisory authority of the ECB would entail the requirement to meet every obligation imposed, while at the same time limiting rights, and that the new system would have a great impact on financial institutions operating in Hungary.

A main concern for Hungary is that banks outside the eurozone would not get their share from European crisis management funds, and that thus locals would seek to transfer their money to banks within the eurozone.

In the interview, Mrs. Győri stated that Hungary is planning to formulate a joint standpoint together with the Czech Republic, Poland and other non-eurozone states prior to the first official debate on the proposal at an informal meeting of EU finance ministers in Cyprus on 14-15 September. “This is not only a matter for Hungary, but for other states outside the eurozone,” she said. She assumed that Hungary would decide on the proposal at the next session of the European Council in October.

The European Commission has suggested that such a unified supervisory mechanism should be gradually implemented, starting on 1 January 2013.

Source: Ministry of Foreign Affairs - kormany.hu