The Minister without portfolio responsible for the negotiations emphasised that the negotiations are following the regular course, which means that he tries to discuss the situation every day or at least every two days with the IMF’s representatives abroad and in Hungary.

The international organisations are currently assessing the Government’s fiscal adjustment measures announced in October and will probably announce which points need to be discussed or amended after the European Commission publishes its Autumn Forecast on 7 November.

Minister Varga stated that a deal could help Hungary a lot, adding however that “not at any cost”. He highlighted that the talks are dragging on as getting the loan is not urgent for Hungary and a deal should not be made through hasty and desperate steps. He emphasized that Hungary can finance itself from the market, but it is impossible to say what the situation will be next spring or summer. If the European markets dry out, then an agreement would come in handy, he added.

The country’s chief negotiator underlined that even though it would be cheaper to finance debt with the help of funding from the IMF, however, this must not be the Government's aim. Minister Varga said that the Hungarian Government’s aim is to create a stable economy, where investors could bring their money and where economic and growth projections make investment worthwhile, he added.

Former Deputy Director of IMF John Lipsky said on 29 October, at the University of Pécs that Hungary’s crisis management measures can be fruitful but success requires commitment, courage and a clear vision.

Hungary has recovered from even more difficult situations in the past, he added. He projected slow growth for Hungary and its neighbours in the years to come. Commenting on the preparations for talks between Hungary and the IMF about financial assistance, Mr Lipsky said both sides are interested in making the economy successful.

Source: kormany.hu