PROCESS AGAINST HUNGARY BECAUSE HIGH DEFICIT

The high budget deficit of Hungary causes a serious problem to the European Commission, too, and the organization in Brussels is expected to start a process against Hungary on its session on June 23.

The process refers to member states where the state budget deficit was over 3 pc of the GDP. This was highest in Hungary after the Czech Republic in 2003 among the newly acceding countries. The deficit has reached 5,9 pc instead of the 4,6 pc predicted by the Ministry of Finance. Hungary has the highest state debt among the acceding countries, too. Probably this is why the introduction of the euro will be delayed by the government, probably its date will be 2010 while the currency reserves of the Central Bank have been reduced by 1,5 billion euros within a year.

Translated by Péter Szentmihályi Szabó