High non-performing loan ratios and stringent, ever-changing government policies have put foreign-owned banks in Hungary under pressure. As established players change their footing, allocating a larger proportion of their funds abroad, a number of smaller local outfits are moving in to capitalise on the potential of niche markets.
Latest articles from Hungary
Keep a balanced view on Hungary
The international community should not use the threat of financial ruin to overrule Hungary's democratically elected government.
Hungary's unorthodox solution to a European economic problem
Hungary's prime minister, Viktor Orban, describes how the country's dire economic situation has required some unusual short-term solutions to run alongside more conventional long-term budgetary management.
Eastern Europe gives Asia a run for its money
Erste Group CEO Andreas Treichl is comfortable that his Austrian bank represents a call option on prospects in central and eastern Europe.
Counting the changes
Promising much, the new Hungarian government has won few fans in the banking sector, with the scale of its new bank tax dwarfing similar plans in the UK and Germany. Writer Thomas Escritt
Putting on a brave face
A fall in the exchange rate has caused problems for borrowers in foreign currency. But moderate loan-to-value ratios and high levels of capital should see the banks through. Writer Nick Kochan
Winners and losers in the downturn
One of the world’s fastest-growing regions during the boom years, eastern Europe became one of the major victims of the credit crunch as aggressive lending strategies turned sour. But there are still plenty of banks in a position to thrive. Writer Jan Cienski in Warsaw.
Peripheral but a pool of potential
Banks have made little impact on the Hungarian economy. Is that what is keeping US players interested in the market? Nick Kochan reports.
A reformist with an appetite for honesty
Ferenc Gyurcsany, Hungary’s prime minister, tells Karina Robinson how he plans to rein in public spending yet confound the polls and get re-elected .
Central Banker of the Year/Europe
Zsigmond Jarai
Governor, Magyar Nemzeti Bank, Hungary
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