hungary cuts base interest rate after 8month break
Last Updated : GMT 06:49:16
Arab Today, arab today
Arab Today, arab today
Last Updated : GMT 06:49:16
Arab Today, arab today

Hungary cuts base interest rate after 8-month break

Arab Today, arab today

Arab Today, arab today Hungary cuts base interest rate after 8-month break

Hungary's central bank
Budapest - AFP

Hungary's central bank MNB cut its main interest rate to a record low of 1.95 percent on Tuesday, the first reduction in eight months, in a move seen as staving off further deflation.
The MNB's rate-setting Monetary Council cut the benchmark rate by 15 basis points from 2.10 percent, the first drop since last July when it ended a two-year-long easing cycle aimed at boosting growth that brought the rate down from 7.0 percent.
A cut was expected by analysts due to Hungary's inflation rate, which has dipped under zero to record lows in recent months, mainly due to government-mandated cuts in household utility prices and low fuel prices.
In February the inflation rate rose to minus 1.0 percent, up from minus 1.4 the previous month, but well below the MNB's medium-term target of 3.0 percent.  
The national currency, the forint, meanwhile has been strengthening against the euro since January, a factor analysts say can also slow inflation as well as curb growth.
In a statement after the announcement the Monetary Council said the low inflation environment is "likely to persist for a sustained period".
"Maintaining loose monetary conditions for an extended period is warranted by the medium-term achievement of the Bank’s inflation target and a corresponding degree of support to the real economy," it said.
Most analysts said Tuesday's rate cut pointed to similar modest reductions in coming months.
"The decision was clearly a response to the economy falling further into deflation than the National Bank had anticipated," William Jackson of London-based analysts Capital Economics commented after the decision.
"Irrespective of whether interest rates are lowered further or not, weak inflation will allow monetary policy to stay loose for the foreseeable future," he said in a note to investors.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

hungary cuts base interest rate after 8month break hungary cuts base interest rate after 8month break

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

hungary cuts base interest rate after 8month break hungary cuts base interest rate after 8month break

 



GMT 23:17 2016 Wednesday ,23 November

Egyptian women's football team defeats Zimbabwe 1-0

GMT 02:33 2017 Tuesday ,26 September

US will go to Pyeongchang, confident in security, safety

GMT 17:39 2016 Sunday ,16 October

Wrong intel ‘led to Sanaa strike’

GMT 08:24 2016 Thursday ,31 March

Argentine Senate to vote

GMT 05:12 2017 Wednesday ,22 March

EU deplores ‘surreal’ stand by US on world trade

GMT 10:22 2017 Wednesday ,18 October

Britain's MI5 says running over 500 terror probes

GMT 14:36 2017 Saturday ,19 August

Queen of Soul Aretha Franklin moving back

GMT 19:33 2016 Wednesday ,10 August

BMW Korea to Recall Nearly 12,000 Cars in South Korea

GMT 21:52 2017 Thursday ,27 July

Sara Malocco PR handles Giovanni Raspini

GMT 13:48 2017 Sunday ,15 October

Bahrain to host eCommerce Forum/Exhibition 2017

GMT 18:50 2017 Monday ,01 May

Ukraine clings to nuclear power

GMT 14:45 2017 Tuesday ,28 November

Kids the bait in football shark pool
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday