Hungary's central bank reiterated support for the government's efforts to meet
euro-area entry criteria, saying membership would benefit the economy. The
central bank's deputy governor said the bank will play a constructive role in
meeting entry conditions while maintaining price stability and cited the
government's 2030 qualification target. Since the April election win the forint
and Hungarian sovereign bond prices have risen. He said euro-area
standards—fiscal stability, low inflation and low yields—are beneficial though a
common currency carries trade-offs, added that inflation this year could be
below 2%, and reiterated the bank would consider lowering its 3% inflation
target to align with the euro area.
