US Bank Collapse Hits OTP Share Price in Hungary
- 14 Mar 2023 12:51 PM
- Hungary Around the Clock
The price of OTP shares dropped by as much as 10% at one point in Monday trading after news of a US bank failure hit the market.
The share price regained some ground and ended the day 5.4% lower.
Trading started with a modest decline of 3.3%, compared to those of Austrian banks, as shares in Erste Bank fell by 7.6% and those in Bawag by 11%.
The price of MOL shares was dragged down by 6.6% at one point, and those of Richter by 4%.
The MNB announced on Monday that the lending and balance sheet indicators of Hungarian banks are healthy, and that the bankruptcy of America’s Silicon Valley Bank and Signature Bank has no direct impact on the Hungarian banking system.
Hungarian banks’ capital adequacy is 1.5 times higher now than it was in 2008, during the financial crisis, the MNB added.
MTI Photo: Zoltán Balogh
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