Although no details have emerged, analysts say the bank sector could lose several hundred billion forints if such a regulation were enacted with retroactive force.

As OTP shares tumbled, the forint also weakened slightly, but later recovered.

Analysts told Napi Gazdaság that the chances of the government launching a broad scheme similar to the early repayment of foreign-currency mortgage debt grow higher as elections draw nearer.

Yesterday’s market jitters were not a surprise, given the unfavourable experiences of the last two years, observed Buda-Cash trader Zoltán Réczey.

Source: Hungary Around the Clock

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