The Hungarian Village program is expanding with the support of small town shops and pubs and two additional elements

Gergely Gulyás, the minister leading the Prime Minister’s Office, said that at the government’s meeting on Wednesday, he heard the new president of the Hungarian National Bank, who presented the central bank’s forecasts.

He added that the government is counting on 4.5 percent inflation for this year, as the central bank’s inflation forecast is also at least 4.5 percent. This also means that the government has a legal obligation to pay a supplementary pension increase, and more than 90 billion forints have been allocated for this purpose, he indicated.

Assuming 4.5 percent inflation, an additional increase of about 1.3 percent will be needed in November. This means 39,600 forints for the average pension, he said.

He highlighted that the inflation figure could be more favorable than the forecast, primarily because the government’s price-cutting measures have come into effect.

Based on the experience so far, the introduction of margin regulation has fulfilled the hopes attached to it: prices for 874 products have decreased by an average of 17.5 percent, he said.

Gergely Gulyás emphasized that the government remains fully committed to putting an end to unjustified price increases, and that they are ready to make further decisions if necessary.