Monday, February 21, 2011

Hungary Central Bank Holds Rate at 6.00%

The Magyar Nemzeti Bank (the central bank of Hungary) decided to pause after a series of rate hikes, holding the central bank base rate at 6.00%. The Bank noted "policy tightening implemented in the past three months is likely to help bring inflation back close to the target after the first-round effects of the cost shocks wear off." Hungary saw inflation of 4.0% in January, down from 4.7% in December, but still above the Bank's medium term inflation target of 3.0%.

www.CentralBankNews.info

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