Deputy Governor of the National Bank of Hungary (MNB), Júlia Király submitted her resignation on Monday. She also resigns as member of the Monetary Council. She wishes to protest against recent changes at the national bank.

The National Bank of Hungary (MNB) has announced on Thursday that its Monetary Council discussed the possible means of fostering economic growth and launches the Funding for Growth Scheme (FGS) of the Bank to boost the economy.

The Monetary Council of Hungary’s central bank (MNB) has decided to lower the base rate by 25 basis points to an all-time low of 5.00% on Tuesday, in line with the market’s call. It was the first rate setting under newly appointed Governor György Matolcsy.

Hungary’s Economics minister György Matolcsy has been nominated by Prime Minister Viktor Orbán as the next Governor of the National Bank of Hungary (NBH). Matolcsy follows András Simor whose six-year mandate expires on March 3.

In agreement with the analyst consensus, the government appointed rate-setters of National Bank of Hungary continued the easing cycle with another 25 basis point rate cut this week, lowering the benchmark interest rate to 6.25%.

The sovereign debt crisis in Europe is having a negative impact on even non-eurozone countries like Hungary, but that does not diminish the need for Budapest to introduce the euro, Hungarian National Bank Governor András Simor said in Tokyo on Sunday.

Without austerity measures, Hungary will overshoot budget deficit goal in 2013 and the annual inflation rate is likely to climb to 5% from 3.4%. That is the projection by the National Bank of Hungary in its quarterly Report on Inflation.

At its meeting on 28 August, the Monetary Council reviewed the latest economic and financial developments and voted to reduce the central bank base rate by 25 basis points from 7.00% to 6.75%, with effect from 29 August 2012.

As requested over the weekend by Hungary’s chief aid negotiator Mihály Varga, who saw the pressure on the Hungarian market, Hungarian Parliament put off the vote on the planned amendments to the central bank law on Monday.

EU executive José Manuel Barroso has called on Hungarian Prime Minister Viktor Orbán to ensure that the nation’s Central Bank remains independent despite a controversial reform that gives the government more control over the bank.

The governing Fidesz majority of Hungarian Parliament has ruled that from now on, the National Bank of Hungary may get a government-appointed Vice Governor, the headcount of the rate-setting Monetary Council can be increased.

Hungary’s central bank (MNB) has raised its key policy rate by 50 basis points to 6.50% on Tuesday, in line with expectations. Although today’s rate call was in line with expectations, it does represent a turnaround in monetary policy.

The National Bank of Hungary believes the recent depreciation of Hungary’s forint is not justified by the fundamentals of the country’s economy a gradual tightening of monetary conditions may become necessary in Hungary.

As a result of a EUR 3.75 billion US dollar bond issuance at the end of March, Hungary’s international reserves jumped to an all-time high EUR 35.7 billion in the third month of 2011, according to the central bank (NBH) on Thursday.

Hungary is set to go ahead with appointing four new external members to the Monetary Council of its central bank, under the new nomination rules passed by parliament, despite stark remarks by the president of the European Central Bank.