The National Bank of Hungary raised its benchmark base rate by 15 basis points to 1.8 percent on October 19th, a level not seen since April of 2015, and in line with expectations. It was the fifth rate hike in a row as the inflation outlook remains surrounded by upside risks. Policymakers expect the tightening cycle to continue until the inflation outlook shows a sustainable convergence to the central bank's 2% to 4% target. The consumer prices index rose 5.5 percent in September, the prices rise was driven by a wide range of products and services. Meanwhile, the monetary authority judges that the Hungarian economy has restarted successfully, as GDP hit its pre-pandemic level during the second quarter of 2021 and monthly indicators suggest a continuation of the strong recovery during the third quarter. The tightening cycle is expected to take effect at the beginning of 2022 helping the convergence of inflation to the 3 percent level during the second half of 2022. source: National Bank of Hungary

Interest Rate in Hungary averaged 10.80 percent from 1987 until 2021, reaching an all time high of 28 percent in January of 1995 and a record low of 0.60 percent in July of 2020. This page provides the latest reported value for - Hungary Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Hungary Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on October of 2021.

Interest Rate in Hungary is expected to be 2.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Hungary Interest Rate is projected to trend around 2.75 percent in 2022 and 3.00 percent in 2023, according to our econometric models.

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Hungary Interest Rate


Calendar GMT Actual Previous Consensus TEForecast
2021-07-27 12:00 PM 1.2% 0.9% 1.1% 1.1%
2021-08-24 12:00 PM 1.5% 1.2% 1.5% 1.5%
2021-09-21 12:00 PM 1.65% 1.5% 1.75% 1.75%
2021-10-19 12:00 PM 1.8% 1.65% 1.8% 1.8%
2021-11-16 01:00 PM 1.8% 1.9%
2021-12-14 01:00 PM 2%


News Stream
Hungary Hikes Key Rates as Expected
The National Bank of Hungary raised its benchmark base rate by 15 basis points to 1.8 percent on October 19th, a level not seen since April of 2015, and in line with expectations. It was the fifth rate hike in a row as the inflation outlook remains surrounded by upside risks. Policymakers expect the tightening cycle to continue until the inflation outlook shows a sustainable convergence to the central bank's 2% to 4% target. The consumer prices index rose 5.5 percent in September, the prices rise was driven by a wide range of products and services. Meanwhile, the monetary authority judges that the Hungarian economy has restarted successfully, as GDP hit its pre-pandemic level during the second quarter of 2021 and monthly indicators suggest a continuation of the strong recovery during the third quarter. The tightening cycle is expected to take effect at the beginning of 2022 helping the convergence of inflation to the 3 percent level during the second half of 2022.
2021-10-19
Hungary Hikes Key Rates Less than Expected
The National Bank of Hungary raised its benchmark base rate by 15 basis points to 1.65 percent on September 21st, a level not seen since May of 2015 and less than market expectations of a 25 bps increase. It was the fourth rate hike in a row as the inflation outlook remains surrounded by upside risks and policymakers see a continuation of the interest rate hikes cycle, but at a slower pace, until the inflation outlook shows a sustainable convergence to the central bank target. The consumer prices index rose 4.9 percent in August, mainly influenced by an increase in inflation of fuel, industrial goods, and unprocessed foods. Looking forward, the central bank expects inflation to rise further and to stay above 5 percent during the remainder of 2021. The tightening cycle is expected to take effect at the beginning of 2022 helping the convergence of inflation to the 3 percent level during the second half of 2022.
2021-09-21
Hungary Hikes Key Rates as Expected
The National Bank of Hungary lifted its benchmark base rate by another 30 basis points to 1.5% on August 24th, a level not seen since June of 2015, as expected. The central bank also hiked the overnight deposit rate and the collateralised loan rate by the same margin to 0.55% and 2.45%, respectively. The decision was aimed at curbing inflationary pressures and re-anchoring inflation expectations, amid a buoyant economic recovery. Headline inflation eased to 4.6% in July from a nine-year high of 5.3% in June, but it is expected to remain above the central bank tolerance band of 3% +/- 1 percentage point until the end of the year. Hungarian policymakers have stressed that they’ll keep up the tightening cycle until inflation is on track to hit the central bank’s 3% target over the monetary horizon. The central bank also announced that it would start gradually winding down its government bond purchase programme.
2021-08-24
Hungary Hikes Key Rates More than Expected
The National Bank of Hungary raised its benchmark base rate by 30 basis points to 1.2 percent on July 27th, a level not seen since March of 2016 and more than market expectations of a 20 bps increase. The central bank also hiked the overnight deposit rate by 30 bps to 0.25 percent. Inflationary pressures continued to mount following the previous interest rate hike, with consumer prices rising 5.3 percent in June, the fastest rate in the EU and the highest level since 2012. Policymakers pledged to resume the tightening cycle until inflation is brought back to the central bank’s target band, between 2% and 4%.
2021-07-27

Hungary Last Unit Reference Previous Highest Lowest
Interest Rate 1.80 percent Oct/21 1.65 28.00 0.60
Interbank Rate 1.97 percent Oct/21 1.97 32.00 0.02
Money Supply M0 10155.70 HUF Billion Sep/21 10446.00 10500.60 1052.00
Money Supply M1 31052.20 HUF Billion Aug/21 30596.00 31052.20 587.00
Money Supply M2 35077.40 HUF Billion Aug/21 34630.50 35077.40 885.10
Money Supply M3 35161.90 HUF Billion Aug/21 34719.00 35161.90 991.40
Foreign Exchange Reserves 38273.00 EUR Million Sep/21 33724.40 38763.60 678.80
Loans to Private Sector 9377.40 HUF Billion Jun/21 9333.90 9526.00 2483.20
Deposit Interest Rate 0.85 percent Oct/21 0.70 11.50 -0.15
Central Bank Balance Sheet 22456.40 HUF Billion Jul/21 21714.40 22456.40 3687.66
Cash Reserve Ratio 1.00 percent Jul/21 1.00 17.00 1.00


Hungary Interest Rate
In Hungary, interest rates decisions are taken by the Monetary Council of the Hungarian National Bank (Magyar Nemzeti Bank). The main interest rate is the central bank base rate on refinancing credit maturing over one year that the Central Bank lends to financial institutions.