The Monetary Council of the National Bank of Hungary left its base rate unchanged at 5.5 percent on Tuesday, as expected. The bank had already paused after a mini easing cycle over the summer.
Consumer price inflation in Hungary stood at 1.6 percent in September, still below the central bank’s target. The bank decides month by month on the basis of incoming data.
External pressures build
The international backdrop has turned less favourable since late summer. Persistently high energy prices pose a risk to inflation, and several large central banks have responded with rate hikes.
Geopolitical tensions and turbulence in global bond markets have also pushed up risk premiums. Hungary’s policymakers must weigh those pressures against domestic price trends.
Budget and the Governor’s briefing
Prime Minister Magyar Péter presented the government’s 2027 budget on Monday, though some of its details remain unknown. The central bank’s rationale will be published alongside a press conference by Governor Varga Mihály at 15:00.
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Source: Hungarian National Bank
