Hungary will probably postpone euro adoption from 2008 to 2010 because of high inflation and budget deficits
Published:
26 February 2004 y., Thursday
Hungary will probably postpone euro adoption from 2008 to 2010 because of high inflation and budget deficits, Finance Minister Tibor Draskovics said. The National Bank of Hungary (MNB) has argued for faster adoption, saying it will boost growth.
Draskovics detailed some proposed cuts in state expenditure. Plans include reducing the number of higher civil servants, such as government advisors and state secretaries; the number of state-run foundations; and support for ethnic Hungarians abroad.
January inflation was higher than the Finance Ministry expected, at 6.6% yr/yr and 2.1% month-on-month. It expects annual inflation in 2004 to be near the higher end of its 6%–6.5% target band.
The February budget deficit is anticipated to be about Ft 180 billion (Ђ684 million), boosted by interest payments, Finance Ministry sources said. The estimated February gap would push the two-month figure to Ft 399 billion, or 43% of the full-year target.
Industrial output grew 6.4% in 2003, after a 2.8% increase in 2002, the Central Statistics Office (KSH) said. In December output fell 0.8% month-on-month.
Real wages rose by 9.2% in 2003, as the result of a 14.3% rise in average net wages and twelve-month consumer price inflation of 4.7%, the KSH announced.
The government wants to raise R&D spending to 1.8%–1.9% of GDP by 2006, and to 3% by 2010, Prime Minister Pйter Medgyessy said. Last year the figure was barely above 1%.
The number of operating businesses in Hungary rose 2.6%, to a total of 969,559 in 2003, including not-for-profit and budget-funded businesses, the KSH said.
Šaltinis:
bbj.hu
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
One of the biggest Finnish introducing broker companies Finnprinters, connecting customers and printing houses, has started joint business projects with Lithuania’s 2 printing houses.
more »
Statistics Lithuania informs that, based on the Labour Force Survey (LFS) data, the unemployment rate in I quarter 2009 reached 11.9 per cent, i.e. was close to the level of the year 2004. Over a quarter, the unemployment rate grew 1.5 times, over a year – 2.4 times.
more »
Lithuania’s Acting Minister of Foreign Affairs Vygaudas Ušackas discussed ways of accelerating the implementation of Rail Baltica in the current economic environment and attracting foreign investments for the implementation of this project.
more »
Proposals for transparency and monitoring to keep gas flowing to the EU.
more »
On a day in which G8 leaders in Italy said the world economy still faces "significant risks," a top White House official said the Obama administration is not discussing a second stimulus plan.
more »
EU proposes microfinance facility to encourage the unemployed to start their own businesses.
more »
For those of you who like your fruit and vegetables to look as crooked, knobbly and curvy as possible 1 July was a good day.
more »
Walt Disney will invest almost half a billion U.S. dollars into its Hong Kong Disneyland, to bolster the park's prospects against a planned rival in Shanghai.
more »
On 26 June 2009 Securities Commission (SC) approved the merge of investment funds controlled by UAB SNORAS Asset Management with SNORAS Global Equity Funds of Funds (SGEFF) by joining JT Baltic Equity Fund I.
more »
Taking into account changes on international and domestic money markets AB DnB NORD Bankas, a member of international financial group, has changed time deposit rates for individual customers.
more »