Hungary’s new Fidesz government does not intend to secure a new loan from the International Monetary Fund, said Gyorgy Matolcsy, the nation’s economy minister. He said Hungary can finance its debts from the market in the coming years, Reuters reports. The European nation will meet its budget deficit target of 3.8 percent of the gross domestic product for this year, the minister added.

Matolcsy said Hungary cannot use fiscal stimulus to beef up growth following the worst recession in 18 years to limit its budget deficit.

“There is no possibility for fiscal stimulus, no possibility whatsoever,” Matolcsy said, as quoted by Bloomberg. “The government can’t even try to put money into the economy which would spoil the budget deficit. It’s strictly off-limits.”

About the author

  • Ma. Rizza Leonzon

    As a former staff writer, Rizza focused mainly on business coverage, including key donors such as the Asian Development Bank and AusAID.