RESTRICTIONS IN VERES-PACKAGE

The restrictive measures announced last week by János Veres, Minister of Finance will affect mainly the budget institutions, Magyar Nemzet has been informed. In consequence of a former order instead of the originally planned 50 pc only 35 pc may be spent from the budget of the ministries in the first half of this year.

It is probable that the rest of the money will be withdrawn because the deficit target planned for a year has been achieved in the first half of the year. Márk Kőszegi, deputy head of the press department of the Ministry of Finance would not comment the informations but said the minister would announce the measures within weeks. György Barcza, analyst of ING Bank said the market regarded the restrictive measures granted though it was questionable how effective they would be.

Translated by Péter Szentmihályi Szabó