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Investing.com -- Hungary’s central bank kept its base rate unchanged at 6.5% on Tuesday, emphasizing that tight monetary conditions remain necessary to maintain financial market stability.
The National Bank of Hungary also announced a reduction in the required reserve ratio from 10% to 8%, effective August 1, 2025. The non-interest bearing portion of required reserves will remain at 2.5% of the reserve base.
In its statement, the central bank described the reserve ratio adjustment as a technical measure with neutral liquidity effects. "With this technical adjustment, liquidity developments are neutral in terms of their overall impact on monetary transmission and do not imply any change in the continued tight stance of monetary policy," the bank said.
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