IMF decision on Hungary talks depends on “policy engagement” – Reuters
The International Monetary Fund has informed the government that a Stand-By Arrangement (SBA) with agreed conditionality would be the best for the country, Christoph Rosenberg, Mission Chief for Hungary, said in an email reply to a Reuters question on whether official talks would start in January.
“Because Hungary does not face an imminent financing need, such an arrangement can be treated as precautionary. Preparatory work on a program cannot continue until the government indicates that it is willing to proceed on the basis of a SBA,” he wrote in the email.
“If the government is interested in proceeding on program discussions, it should demonstrate its willingness to engage on policy issues that are relevant to macroeconomic stability. This includes close consultation on the proposed central bank legislation and the financial stability law as part of the negotiations,” he said.
