Many have sufficient resources to cover their expenses while others will receive capital injections from their parent banks if needed, the minister said.

Concerning the bank tax, Varga said a review of the tax could be undertaken if there are extra revenues due to a faster growing economy. He said the recent decision by the government to freeze 110 billion forints (EUR 357m) in central budget spending had not been a measure asked for by the European Commission.

It was necessary because “the deficit is seen to be at the edge of the planned rate, around 3 percent,” he said, adding that the freeze could even be lifted at the end of the year.

The economy minister announced the planned fund freeze on July 17 as a precautionary measure to ensure that Hungary’s deficit target of 2.9% of GDP for 2014 is met.

Source www.hungarymatters.hu

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