Prime Minister Viktor Orban has stressed the improtance of a pan-European agreement to stengthen the fiscal stability of the 27 nations.
Prime Minister Viktor Orban has stressed the improtance of a pan-European agreement to stengthen the fiscal stability of the 27 nations, with Economy Minister Gyorgy Matolcsy emphasizing the importance of stability in the framework of an independent Hungarian economy.
Both pointed out that fiscal stability and this year’s 3.8pct deficit target are primary objectives, including the reduction of the state deficit from 80 to 60pct. According to Mr Matolcsy, 2011 and 2012 will be dedicated to the restructuring of the economy, a position that the government is holding firm on the fundations of tax reduction. Meanwhile, Mr Orban characterized the talks with IMF as "insignificant and secondary” and put a common European effort at the forefront of his analysis, according to which instead of a bilateral negotiation between Hungary and the EU, a multilateral agreement of the nations would seek to mitigate the deficits of the Union members. The PM says that Hungary must reduce its deficit in the medium term under 3pct (a Maastricht criterion), and meet its 3.8pct deficit goal. "We hope economic growth next year will be above 2pct ... and we plan further tax cuts that will boost the economy, so we have a good chance that, based on the agreements with the EU, Hungary will again become a successful country," the prime minister went on to declare.
