MNB: inflation may stabilize around 3 percent

Inflation may fall below 3 percent this year and stabilize at around 3 percent over the longer term – the head of the Economic Forecast and Analysis Directorate said at the National Bank of Hungary’s (MNB) news conference on Thursday.

According to Balatoni András, inflation may fall below 4 percent in March, and core inflation will also fall short of what earlier forecasts predicted. This was explained, inter alia, by a significant drop in oil prices, which offset the rise in the price of raw food. It is expected that the economic effects of the corona virus will significantly reduce second-quarter results. (MTI)