Eurostat has National Bank of Hungary foundations insights

Eurostat says the National Bank of Hungary’s (NBH) foundations should be included in the national budget.

The European Union’s statistics office said in a release on Monday that it had reservations concerning the quality of data in connection with the foundations as well as how they are classified.

“Eurostat considers that these foundations, including their subsidiaries, should be classified inside general government.”

“[F]or the purposes of statistical classification under ESA, the foundations are government controlled non-profit units and non-market producers and should … be classified in the general government sector,” Eurostat acting director Luca Ascoli wrote to the head of Hungary’s Central Statistical Office (KSH).

“Likewise, subsidiaries established or later acquired by the foundations are deemed to be artificial subsidiaries and should, therefore, be consolidated with their immediate parent(s),” Ascoli added in the letter dated April 16, 2018.

Assets of the NBH’s Pallas Athéné Foundations came to 269.8 billion forints (EUR 871m) at the end of March, the foundations’ assets manager said earlier.