Hungary still open to IMF guidance on 2013 budget, says Varga - paper

Budapest, November 30 (MTI) - Hungary s government still awaits recommendations from international lenders which could be included in the 2013 budget due for approval in mid-December, the chief negotiator in talks on financial aid told Friday s Nepszabadsag daily.

"The International Monetary Fund (IMF) says there is not enough time, but I say a lot can be done in three weeks," Mihaly Varga told the paper.

He said recent talks with the IMF only involved exchanges of views in principle, because the other side considered there was not enough time to prepare substantive replies, Varga said.

Talks with IMF representatives concentrated on three government measures aimed at reducing the public deficit to below 3 percent of economic output in 2013, he said. One is taxing the financial sector with which the IMF strongly disagrees and on which the sides had not come closer. On the other two measures -- capping social benefits and public-sector employment issues -- the two sides were in agreement, Varga told the paper.

He said that it was unlikely the government would open next year s budget again for negotiations after having been passed by parliament.

"The chance is there for tabling concrete proposals until the budget debate is closed," he said.

Varga said there was no official date for continuing talks with the IMF.