NEWS

Budapest transport workers’ strike could cost economy billions – mayor Demszky

Hungary’s Finance Ministry forecasts HUF 13 bln April deficit in state budget

EU strikes down Hungarian export-credit guarantee scheme

Budapest plans to continue bath reconstruction program to lure tourists

Hungarian gross wages up 13.4% y/y in February, real wages up 4.3% y/y

MONETARY POLICY

Hungary’s Monetary Policy Council shows decisive majority in March 50 bps rate hike – minutes

STATISTICS

Hungarian industrial output up 13.2% y/y in February on manufacturing –final data

POLITICS

Hungary’s top opposition party Fidesz extends lead in April poll

COMPANY NEWS

MANUFACTURING

IPO WATCH: Listing of Hungarian plastics Pannunion delayed to June-July

EU launches in-depth investigation into Hungarian state aid for steelworks Dunaferr

TRANSPORTATION

Hungary to invite investor concepts for Taszar airport property utilization, logistics project

U.K.-based transport operator Arriva acquires Hungary’s Interbus Invest for HUF 8 bln plus debt

CHEMICALS

German chemicals BASF notes 13% y/y growth in Hungary in 2007, targets same for 2008

RETAIL & CONSUMER GOODS

Hungarian new car sales fall 4.1% y/y in Q1 2008 to 40,673 units

REAL ESTATE

PRESS: German retailer Tengelmann to invest over EUR 300 mln in Plus store network in Romania

British property developer Westhill to invest EUR 60 mln in Romanian retail park

Greek trading company Elmec acquires EUR 3 mln property in Romanian capital Bucharest

Greek trading company Elmec acquires EUR 3 mln property in Romanian capital Bucharest

PRESS: Greek developer Quality Living Developers to invest EUR 200 mln in Romanian homes

PRESS: Romania’s Baneasa Shopping Mall expects EUR 250 mln annual revenues

Hungarian construction output falls 19% y/y in February

UK-owned developer Whitefield to build 13,000 sqm residential project in Budapest

PRESS: Romanian developer Premier Business Group to invest EUR 25 mln in residential project

Hungarian state gives nod to new conference center project in Budapest

Austrian property group Europolis plans EUR 130 mln logistics, office project in Hungary

Hungarian property operator Graphisoft Park quadruples dividend, sets 2008 targets

Hungarian hotel occupancy 47% in Q1, revenues up 10.3% y/y

Romanian construction firm Synergy Construct enters property market with EUR 36 mln project

U.K.-based property investment fund Fabian Romania to deploy EUR 80–100 mln to Romania

Hungarian regional airport operator BudaWest to invest HUF 10 bln in developing airport, property

Romanian investment fund STK’s property arm to invest EUR 30 mln in residential project

Hungarian developer Euro-Liget to build HUF 600 mln residential block in Gyongyos

Hungarian retail/property company Fotex portfolio value up 7% y/y to HUF 115.9 bln in 2007

PRESS: Romanian developer Bermo expects EUR 13 mln from sale of 3 residential projects

OTHER COMPANY NEWS

PRESS: Hungarian motorway firm AAK tipped as first state company to be listed by gov’t in Jan. ’09

ENERGY NEWS

OIL & PETROCHEMICALS

PRESS: Romanian oil firm Petrom sees profit up 26% y/y to EUR 673 mln in 2008

Hungarian fuel sales up 1% y/y to 721 million liters in Q1 on diesel growth

Hungarian retail fuel prices unchanged this week, despite high global crude oil prices

GAS

Italian ENI’s Hungarian gas utility Tigaz pays no dividend on 2007 profits

Hungary’s MOL expects gas production in Mako field to start after 2012

Russia’s Gazprom talks to Hungary on South Stream project

Hungarian gas pipeline operator FGSZ to start building gas pipeline between Hungary and Romania

U.K.’s Ascent to sell minority share in Hungarian gas exploration projects to Leni Gas and Oil

Hungarian oil/gas company MOL signs exploration agreement with ExxonMobil for Mako gas field

PRESS: Gaz de France to invest in wind power projects in Romania

HEAT, POWER & SEWAGE

PRESS: Hungary’s PannErgy raises budget for geothermal projects to EUR 500 mln

Hungarian power grid operator Mavir to pay out entire HUF 8.8 bln 2007 profit as dividend

PRESS: Romanian state to up stake in new Cernavoda nuclear reactors to 51% from 20%

PRESS: French electricity company EdF to enter Romanian energy production market

Hungary’s Paks nuclear plant targets HUF 8.1 bln profit in 2008, hikes prices 6%

Dutch aluminum firm Vimetco partners with InterAgro to build 1,000 MW power plant in Romania

PRESS: Romanian electricity distributor Electrica sees 2008 profit up 14% y/y to EUR 390 mln

ALTERNATIVE ENERGY

Austria’s Raiffeisen to sell Hungarian wind energy producer Hungarowind

BANKING & FINANCE NEWS

BANKING

Hungarian regulator approves Austria’s VCP gaining 10.33% stake in mortgage bank FHB

INSURANCE

European Commission clears acquisition of Hungary’s OTP Garancia by French insurer Groupama

EMERGING MARKETS NEWS HIGHLIGHTS

Russia’s concerns over U.S. missile shield plans may be soothed – Foreign Minister Lavrov

Ukraine could pump Caspian oil via Odessa-Brody pipeline to Czech Republic this year

Putin’s nomination as United Russia leader opens prospects for majority government – Medvedev

FINANCIAL MARKETS

EQUITIES

Hungary’s blue-chip BUX index flat on week, low-key trading seen continuing

Budapest Stock Exchange share trading 11–18/04/2008

FIXED INCOME

Hungary fixed income benchmark yields 11–18/04/2008

Hungarian 12-month T-bill auction yield 9.00%, well above expectations

Hungarian six-month T-bill auction yield drops to 8.39%

Hungarian three-month T-bill auction yield falls to 8.28%

CURRENCY

Hungarian forint firms to EUR/HUF 252.58 Friday, slightly down on week

National Bank of Hungary official exchange rates 11–18/04/2008

MONEY MARKET

National Bank of Hungary official interest rates – 18/04/2008

CALENDAR

Hungary – calendar of upcoming events 18/04/2008