Further State Acquisitions Could Require Budget Amendments, Says Minister

Budapest, August 4 (MTI) – Hungary’s government could make acquisitions by year-end that require amendments to the state budget, National Development Minister Miklos Sesztak said in Monday’s issue of business daily Napi Gazdasag.

Sesztak said the government wants to make acquisitions in addition to MKB Bank. For instance, talks with the foreign owner of rolling stock joint venture Bombardier MAV are expected to wind up soon, he said.

The minister said Parliament could approve in the autumn an amendment to legislation allowing the state to take over full ownership of the Hungarian Electricity Works (MVM). The state already owns more than 99 percent of MVM.

Hungary’s government earlier said it wanted to raise the state’s stake in sectors of strategic national importance.

The minister said MVM officials had already started talks about a long-term gas purchase contract with Russia expiring in 2015 but major developments cannot be expected before August 20.

Sesztak confirmed to the paper that he had no plans to resign despite the opposition’s repeated allegations that the minister had assisted in shady deals as an attorney in the past.

Photo: MTI – Zoltan Mathe

Source: http://mtva.hu/hu/hungary-matters