Minister of Economic Development: it’s time to put an end to price caps

By: Trademagazin Date: 2022. 09. 01. 12:22

The price caps fulfilled their role, but they are meant to deal with temporary difficulties, and now they are more and more expensive to maintain – said the minister responsible for economic development in the InfoRádió Aréna program. He talked about the expected performance of the economy, the expected steps in the EU energy market, and the intention to increase the share of Hungarian ownership in other sectors.

The price cap has had its effect, the price cap can go

The goal is to get the country out of the energy emergency as quickly as possible. Growth and inflation are determined through the price of energy, rising energy prices fuel inflation.

Márton Nagy has so far revealed few details about his trip to Moscow. It turned out that, like Péter Szijjártó, he was involved in a gas case in Russia.

“It is important that there is gas, the right gas, and the right price. I negotiated under these conditions, but we have to wait a few more weeks to see if we were able to achieve something. Politics must negotiate with politics, with Gazprom in the normal working order the MVM is negotiating”

he said, adding that

“the current one is a good gas contract, but if circumstances change, new conditions can be adjusted accordingly”.

Regarding the price caps, he said: they were put into effect because the economy was hit by a price shock. However, this became bigger and bigger with the war. The measure was good while the situation was temporary, but if it becomes permanent, the price caps are unsustainable. Personally, I think they have done their part, but since the energy crisis is still going on and prices are rising. Inflation has not peaked yet, and there is no end in sight.

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