23 April 2013

HUNGARY: New CBank Chief Matolcsy Lowers Benchmark...To 4.75%.


     New CBank head...and close PM Orban ally...Gyorgy Matolcsy has continued lowering the benchmark...this time by 25 bps...to 4.75%...as inflation hovers close to a 39 year low.
    It was the CBank's 9th monthly rate cut.
    Many investors expect the benchmark to drop below 4% in the next 6 months.
    PM Viktor Orban also announced that Hungary will spend almost 300 million euro/ $400 million to build a state of the art...65,000 seat national stadium...and Olympic sports park in Budapest.
    Construction will begin in 2014...with a  2017 projected completion date. 
http://www.bloomberg.com/news/2013-04-23/hungary-cuts-main-rate-to-record-low-as-matolcsy-targets-growth.html