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The opposition Socialist Party says it expects debt financing to be one of the biggest risk areas of the 2023 fiscal year, and that they hope the government was going into next year with a “comprehensible budget”.
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The European Parliament has proposed freezing European Union funding, saying that the 17 measures taken by Hungary aimed at unlocking its EU funding were not sufficient to offset the systemic risks to the block’s finances.
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Lawmakers voted on Tuesday to extend the preferential VAT rate on home construction and exempt advertising companies from a sectoral tax.
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Hungarian rate-setters left the base rate on hold at 13% at a regular policy meeting. The Council also decided on Tuesday to keep the central bank’s O/N deposit rate at 12.50% and the O/N collateralised loan rate at 25%.
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The OECD raised its forecast for Hungary’s GDP growth this year to 6.0% in its biannual Economic Outlook published.
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The interest rates paid by banks on deposits of Ft 20 million or more owned by institutional investors may not exceed the level of the three-month discount T-bill rate, Economic Development Minister Márton Nagy announced.
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