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Update: Hungary Central Bank Keeps Rates on Hold, as Expected; ING Still Sees A Possible Rate Cut in 2026

BY MT Newswires | ECONOMIC | 12:40 PM EDT

12:40 PM EDT, 03/24/2026 (MT Newswires) -- Hungary's central bank (MNB) on Tuesday said its Monetary Council left the key base rate at 6.25%, as expected by the majority of economists.

MNB noted in its policy statement that the Monetary Council also kept the o/n deposit rate at 5.25% and the o/n collateralized lending rate at 7.25%.

"The surge in energy prices and the increase in risk aversion significantly have raised global inflation risks," wrote the central bank in its policy statement, referring to the spike in oil and natural gas prices following the United States and Israeli attacks on Iran.

"Based on the Monetary Council's risk assessment, the baseline scenario in the March projection is surrounded by mostly upside risks to inflation and downside risks to growth," added the policy statement.

The war in the Middle East has forced the MNB to revise its macro projections, pushing it towards a more hawkish stance, stated ING after the policy decision.

ING thinks it is still too early to "panic" and the bank still sees a chance of a rate cut this year.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

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