It is increasingly apparent that Hungary’s inflation is the steepest in the European Union. Although the official inflation indicators of the Baltic countries are higher than those of Hungary, EU data from the summer show that the core inflation indicator, which contains much less distorting effects, is the worst in Hungary. The inflationary pressure intensified […]

The continued plunge in Hungary’s national currency is forcing the country’s decision makers to revisit earlier policy measures as the weakening forint wreaks havoc in the economy. The central bank may be forced to resume its tightening cycle while the government has indicated it could bring forward the nation’s erm-2 accession, the waiting room of […]

Hungary’s forint broke multi-month records against the euro in recent days, fueled by rate hike expectations and a promising economic growth outlook. The currency gained ground even as a steadying US dollar cut international risk appetite. As inflation in Hungary and other central European nations is above central banks’ target levels, investors are betting on […]