Hungary’s Finance Minister Peter Oszko categorically denied allegations by the online version of the daily Magyar Nemzet on Wednesday that austerity measures are necessary for keeping this year’s budget deficit target.
The paper said that a delegation of the International Monetary Fund (IMF) currently reviewing Hungary’s financial-support package in Budapest stipulated that without another 250-300 billion forints worth of spending cuts, Hungary would exceed its 2010 deficit target of 3.8 percent by 1-1.2 percentage points.
Oszko told MTI that the information published on the website does not come from the IMF staff, or “at least this is what the IMF representatives have told us.”
Government spokesman Domokos Szollar said that the government does not see a risk in the 2010 budget. He added that the Bajnai government does not plan any belt-tightening measures affecting the general public.
Oszko said the IMF delegation will hold a detailed press briefing at the end of its review visit on Monday.
Last week, delegations from the International Monetary Fund and the European Commission began the latest reviews of a 20 billion euro financial support package Hungary was granted in November 2008.
The quarterly review is the fifth by the IMF and the fourth by the European Union. After the previous review, at the end of last year, the delegations acknowledged the progress Hungary had made.
