In a speech at the 63rd Itinerant Conference of Economists in Veszprém, National Bank of Hungary Governor Mihály Varga said rising global uncertainty and slowing growth drivers require a monetary policy focused on stability. He pointed to recent financial stability indicators, including the forint’s stabilisation in recent months, and highlighted the launch of the Certified Corporate Loan programme to help small and medium-sized enterprises access favourable investment loans quickly. Varga described inflation as still mainly a Central and Eastern European issue and argued that achieving the central bank’s inflation target sustainably depends on stabilising inflation expectations. He cited Hungary’s current account surplus, improving budget balance and a resilient labour market as supportive fundamentals, while noting that stronger investment is needed to accelerate growth and that corporate lending requires a turnaround despite improving retail lending and housing market demand. He also referenced the central bank’s role in combating financial fraud through “five strikes” measures announced in the early summer.
National Bank of Hungary 2025-09-04
National Bank of Hungary Governor sets out stability oriented stance and promotes Certified Corporate Loan programme
National Bank of Hungary Governor Mihály Varga emphasized a stability-focused monetary policy amid global uncertainty and slowing growth, citing the forint's stabilization and the Certified Corporate Loan programme for SMEs. He noted inflation remains a Central and Eastern European issue, with sustainable achievement of the bank's inflation target reliant on stabilizing expectations. Varga highlighted Hungary's current account surplus and resilient labour market as supportive, while stressing the need for stronger investment and a turnaround in corporate lending.