Hungary

Citibank is starting a campaign to attract SMEs, managing director Janos Horvath announced. The bank aims to boost both its stock of loans and deposits for businesses with annual revenue of HUF 20m-450m.

The Monetary Council of the Hungarian National Bank (MNB) cut its benchmark interest rate by 75 basis points to 8.25% yesterday. It was the ninth rate cut since the downward trend began in March 2003.

OTP Bank Rt announced which special bank tax each of its subsidiaries will choose to pay this year.

Coface's Austrian subsidiary, OKV Coface has opened a credit insurance branch in Hungary -Coface Hungary. After successfully setting up operations in Poland in 2003, it is thus continuing its policy of expansion in Eastern Europe.

Zoltбn Bodnбr is the new CEO of state-owned foreign trade financer Hungarian Export-Import Bank Rt (Eximbank).

The Monetary Council of the National Bank of Hungary (MNB) cut its benchmark interest rate from 9.5% to 9%.

Awareness of corporate credit insurance is expected to change Hungarian businesses' debt-paying morals and even boost the economy, according to Martina Dobringer, chairman of the board at Цsterreichische Kreditversicherung Coface AG (OKV Coface),

The London-based European Bank for Reconstruction and Development (EBRD) will extend its joint EU financing programme in Hungary by providing small- and medium-size enterprises (SMEs) with a Ђ10m credit line, the bank said in a statement.

Hungary’s Export-Import Bank (Eximbank) Rt and its Russian counterpart Rosseximbank, along with Hungarian export insurer MEHIB Rt, have signed a framework agreement to jointly support or finance projects in Asia, South America and Southern Europe.

The state-owned Hungarian Development Bank (MFB) will make another HUF 100bn in low-cost loans available to small businesses and local councils.