Hungary’s conservative Democratic Forum party has called for an extraordinary parliamentary session to discuss the situation of the country’s currency, the forint, Ibolya David, the party’s leader, told MTI on Wednesday.
The forint reached a lifetime low against the euro on Wednesday morning, weakening to 312 per euro.
The Democratic Forum has turned to President Laszlo Solyom to convene an extraordinary session for Friday to discuss immediate measures to restore the currency, David said in a statement.
The All Hungary Media Group is firmly committed to freedom of expression and therefore applies a mostly "hands off" approach to comment moderation. Comments left by readers represent their own views and do not necessarily reflect the opinions or beliefs of the staff, editors or owner of the All Hungary Media Group, who nonetheless reserve the right to remove comments that are off-topic or which moderators consider to constitute "hate speech." Also note that in order to prevent spam we generally close entries off to comments several days after publication.
Wow, must be getting hard to afford all those big beautiful Automobiles. Back to Trabant”s and Lada’s!
The forint, if you follow its fortunes from last December, has fluctuated a great deal against other major world currencies. For example, in December 2008, you could get only 275 forint for GBP. It is now 1 GBP = 345huf.
The forint, in my estimation, is a “manipulated” currency. The speculators have a field day with it. Don’t just take my word for it. Look at the percentage changes against a basket of currencies over the last year.
The other part of the equation is that, Hungary is set to adopt the “euro”.
The EU bankers will like to set a rate (euro= huf??) that will reflect the prices consumers currently pay for goods and services in forint, and what they will pay “in real terms” when the “euro” actually arrives.
Bolstering the currency is foolish. Draws on reserves and is unnecessary. Let the “huf” find its own level and this will reflect the true picture of the Hungarian economy.