Euro introduction in Hungary? Finance minister answers

It is premature to talk about Hungary adopting the euro, Mihály Varga, the finance minister, said at an event on Saturday.

It is important to restore balance to the economy as soon as possible, and fiscal policy must aim at reducing the deficit and the public debt, Mihály Varga said at the Tranzit festival in Tihany, in western Hungary.

At one point, Hungary had been in a position meet all conditions for joining the euro zone, bar the exchange-rate requirement, and the two most recent crises confirmed that had Hungary adopted the single currency, the Hungarian economy would be exposed to far less risk, Varga said.

The euro would also have several advantages politically, Varga said, noting that a Eurobarometer survey from January showed that 72 percent of Hungarians approved of the idea of joining the euro zone in the interest of stability.

But drawbacks, he added, were having to abandon an independent monetary policy and that the European Central Bank based its decisions mainly on the criteria of core countries such as France, Germany, The Netherlands and Italy, so Hungary may end up sidelined.

Central banker Gyula Pleschinger said during the debate that Hungary was now far away from joining the euro zone, “because we cannot even fulfill the Maastricht criteria”.

He said the country may be able to adopt the currency during the decade of 2030.

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1 Comment

Dishevelment / Disarray: says:

27/08/2023 at 12:28

Mihaly Varga – Finance Minister of Hungary, a “member” of the “Founding Fathers” of the Fidesz Political Party, that through his “cohorts” with the present Prime Minister of Hungary – Victor Orban – together they jointly SHARE in the cataclysmic MESS – that we presently are witness to see, that factually being, the state Economically & Financially as a country Hungary, we live in.
It will WORSEN.
Mihaly Varga – Victor Orban, they AGAIN are talking, if its FACT and not propaganda, endeavouring to put out “raging fires” in the Hungarian economy, that are CRIPPLING us – possible destroying us, this conversion to Euro.
If “signed off” by the people population of Hungary, converting our currency to the Euro, we are living in times at present, that see’s, in millions and growing Hungarians just surviving or living off “gifts” of others, this DECISION, driven by Mihaly Varga/Victor Orban, will increase the trend of Hungary, that gives indications would be our DEMISE.
Cost of Living rising at present, rate of Inflation, that presently we KNOW that NOTHING is Getting Cheaper in Hungary, and a decision to go Euro one of DERANGEMENT.