Latest news with #DemjanSandorProgramme
Budapest Times
11-06-2025
- Business
- Budapest Times
Fitch Ratings affirms Hungary's sovereign rating with a stable outlook
Fitch Ratings has affirmed Hungary's sovereign rating with a stable outlook. The National Economy Ministry said all three big rating agencies have put Hungary in the investment grade category. The ministry faulted decision-makers in Brussels for adopting a failed economic policy, supporting the war instead of peace, and giving all available funding to Ukraine, while the European economy faces growing challenges. The government is working to shield Hungarians from the negative external environment and strengthen the economy, allocating resources to support families and SMEs, it added. In spite of pressure from Brussels, the government is implementing Europe's biggest family-friendly tax cut programme, while taking firm steps against unjustified price increases, the ministry said. At the same time, the government continues to preserve fiscal stability and exercise strict fiscal discipline, maintaining its commitment to reduce state debt and the budget deficit, it said. In May and June, budget revenue was boosted by a HUF 110bn dividend paid by Liszt Ferenc International operator Budapest Airport and a HUF 200bn dividend by state-owned energy group MVM, it added. Hungary's economy stands on firm foundations, confirmed by the latest data showing employment at close to 4.7 million and a record low number of job-seekers, the ministry said. Real wages have climbed for over a year and a half, and the tourism sector is set to have a record year in 2025, it added. Confidence in Hungary is reflected in bond issues on international markets, most recently a EUR 1 billion security issued by the Hungarian Development Bank (MFB) that drew outstanding interest, the ministry said. The ministry highlighted stimulus programmes such as the Demjan Sandor Programme for scaling up SMEs that will pump over HUF 1,400bn into the economy.
Budapest Times
03-06-2025
- Business
- Budapest Times
Moody's affirms Hungary's investment-grade sovereign rating
Moody's Ratings affirmed Hungary's investment-grade sovereign rating at a scheduled review on Friday. The National Economy Ministry said in a statement that all three big credit rating agencies put Hungary in the investment-grade category, thanks to the stable foundations of the country's economy. Employment remains high, real wages are increasing dynamically, and domestic tourism should have another record year in 2025. International confidence is regularly confirmed by bond issues. Most recently, the Hungarian Development Bank's (MFB) EUR 1bn bond issue, with a 4.375pc coupon, drew significant international interest. The government is using Hungary's resources to support families and domestic SMEs, and is working to achieve the highest possible economic growth and to improve the credit rating outlook from the current negative to stable. It is implementing Europe's largest tax reduction programme and has introduced markup caps on food and non-food products, which is expected to further increase household consumption, the ministry said. In order to achieve sustainable GDP growth, the government aims to boost investments through expanding a scheme announced earlier to set up 100 new factories to 150 manufacturing bases and providing special support to domestic SMEs. The Demjan Sandor Programme aims to scale up SMEs with HUF 1,400bn in funding, including grants, preferential loans, a HUF 100bn capital scheme and HUF 130bn support for technology upgrades, the ministry said.
