Interbank Market Report: Monday

The forint was trading at 306.92 to the euro late Monday on the interbank forex market, down from 305.82 late Friday and 305.84 late Sunday. At 305.83 to the euro early Monday, the forint moved between 305.62 and 307.27. The Hungarian currency fell back in a resurgence of global risk avoidance.

BUX Report: Monday

The Budapest Stock Exchange's main BUX index finished down 1.77% at 17,336.26 Monday, after surging 1.09% Friday. It is down 6.61% from the end of last year, after it rose 2.15% in 2013. Last week it fell 0.29% after sinking 1.08% the previous week. With the turn of tide all over Europe, the Budapest parquet also took a dip.

Gov’t to submit budget draft to Fiscal Council

After revealing the draft budget for 2015, the National Economy Ministry will submit it to the Fiscal Council today, the ministry informed Hungarian news agency MTI. The final budget will be published by the end of this month.

Audi Hungária to produce TT Roadster

German car producer Audi is launching production of its third-generation TT Roadster models at its plant in Hungary, located in Győr, early in November, Audi Hungária Motor announced today. Production of the new models are officially scheduled for November 5.

KSH: Home loan approvals on the rise

In the first half of 2014, the number of home loan approvals was more than 23,000, up 33% year-on-year, and the total value of the loans approved during this period was HUF 101 bln, up 53%, although this was partly due to a low base, the Central Statistics Office (KSH) reported today.

ECONOMY

ÁKK to hold first liquidity bill auction since March next Monday

Hungary's Government Debt Management Agency (ÁKK) will offer HUF 50 bln discount T-bills expiring before the end of the year at an auction of short-term "liquidity" bills on October 27, the announcement on ÁKK's website shows. This will be the first liquidity bill auction since the middle of March.

BUSINESS

T-Systems ads target mobile users who want relevant info

German-based T-Systems International is introducing a new mobile advertising service with the technical support of IT Services Hungary Kft., the company announced in mid- September. The service is designed to send SMS and coupons to consumers who will be interested in those messages – at the right time and place. It is meant to deliver advertising that people want, without being disturbed. 

ECONOMY

Agreement reached between Russia and Ukraine on gas price

“Ukraine President Petro Poroshenko confirmed that an agreement has been reached with Russia on a provisional price for gas deliveries during the coming winter months. Poroshenko said the deal was reached at talks with his Russian counterpart Vladimir Putin in Milan on Friday, and he hoped it would end the gas dispute between the two countries,” AFP reported yesterday.

ECONOMY

Hungarian food producers to show at international food exhibition in Paris

Hungarian food producers will be showing their products at one of the world's most prestigious international food exhibitions, the Global Food Marketplace (SIAL) in Paris, to be held on October 19-23, state tourism agency Magyar Turizmus (MT) said in its newsletter.

ECONOMY

Szijjártó confirms EU, NATO commitments

Hungary is a member of the European Union and NATO and this clearly indicates where its commitments lie, the foreign minister said in an interview published by daily Magyar Nemzet on Saturday.

POLITICS

Goodfriend: Corruption a growing problem here

André Goodfriend, Charge d'affaires at the U.S. Embassy, said in a local TV interview yesterday that the Hungarian government already knows the names of Hungarian officials who are officially denied entry into the U.S. He also told ATV that corruption is a growing problem in Hungary, and cited national tobacco store concessions as an example.

BUSINESS

Grand Casino opens in Debrecen

The Grand Casino was opened at the Debrecen (located in eastern Hungary) shopping center on Friday through investment of HUF 750 mln by Aranybónusz 2000 Kft., which won the concession right for ten years, Hungarian news agency MTI reported on Saturday. The concession right can be extended for another five years.

ECONOMY

PM: Draft 2015 budget to be revealed today

Hungarian Prime Minister Viktor Orbán’s 2015 draft budget, which he will present to Parliament for approval today, contains figures aimed at reducing the state budget deficit to below 3% of GDP, according to Reuters.

BUSINESS

Hungary to hold startup competition for the first time

Get in the Ring, an initiative started by the Erasmus Centre for Entrepreneurship in 2009 with the aim of putting promising entrepreneurs from around the world in contact with investors, is scheduled to organize an event in Budapest for the first time on October 22.

POLITICS

Report: Audi slowdown was message to Hungary

When German carmaker Audi stopped work at its plant in Győr in August, sending Hungary's production numbers into a tailspin, it was Germany flexing its economic muscle in response to Chancellor Angela Merkel's dissatisfaction with Hungary's government – dissatisfaction she shares with the U.S. and discussed with Hungary's PM this month, hvg.hu reported Saturday.

POLITICS

PM discusses Hungarian-Kazakh investment fund

The establishment of a Hungarian-Kazakh investment fund and the opening of a Hungarian embassy in Kuala Lumpur were in the focus of talks between Prime Minister Viktor Orbán and Kazakh president Nursultan Nazarbayev and Malaysian Prime Minister Najib Razak, respectively, Hungarian news agency MTI reported yesterday.

POLITICS

PM: Hungary offers safe, predictable business environment

Hungary's business environment is certain and predictable, Prime Minister Viktor Orbán told Hungarian public media in Milan on the sidelines of the Asia-Europe Meeting, Hungarian news agency MTI reported yesterday.

ECONOMY

Hungary, Laos discuss agriculture, trade

Hungary and Laos began negotiations on tied aid of tens of millions of dollars to finance Hungarian agricultural projects in the Asian nation, Foreign Minister Péter Szijjártó announced yesterday.

ECONOMY

Court overturns decision withdrawing INA drilling licenses

Croatia's highest court overturned an earlier ruling whereby oil and gas company INA, in which Hungarian oil and gas company MOL has 49% stakes, lost drilling licences in the northwest of the country, Croatian online daily tportal.hr reported yesterday.

BUSINESS

Yacht club completes HUF 300 mln improvement

Hungary's oldest yacht club, located in Balatonfüred, completed an improvement project yesterday at a cost of over HUF 300 mln. The Balatonfüred Yacht Club's managing director István Borocz informed Hungarian news agency MTI that the club's hangars were rebuilt and disused buildings were demolished.

BUSINESS

Invitel developing network

Invitel continues the implementation of its large-scale development program launched in 2012, worth close to HUF 4.5 bln, the company announced at a press conference.

ECONOMY

Forint volatile on interbank market

The forint was trading at 305.70 to the euro late Friday on the interbank forex market, up from 307.28 late Thursday. At 307.08 to the euro early Friday, the forint moved between 305.58, a three-day high, and 308.23.

ECONOMY

BUX up with European peers

The Budapest Stock Exchange's main BUX index finished up 1.90% at 17,648.88 Friday, after sliding 1.05% Thursday. It is down 4.93% from the end of last year, after it rose 2.15% in 2013. In line with regional peers, the Budapest parquet staged a rebound Friday, tracking a bounce in world markets after this week's huge sell-off on concerns over the global and local economy, and new frictions between Hungary's government and the EU executive.

POLITICS

U.S. Embassy not naming corruption suspects

The U.S. Embassy said in a press conference yesterday that it would not name the ten Hungarians who have been denied entry into the U.S. on charges of corruption. But local media are saying the list includes Ildiko Vida, head of the tax authority, and Péter Heim, who heads the foundation that owns daily Napi Gazdaság, which originally broke the story on Thursday.

OPINION

Big in Japan

NNG CEO Péter Balogh talks exclusively to the Budapest Business Journal about navigating the journey from startup to global automotive GPS leader, the almost fatal crash of 2008, taking risks, seeking success in Japan and coming to grips with budgetary discipline.

expert opinion

Big in Japan

Big In Japan

Péter Balogh

NNG CEO