Weekly news:

INTERFAX HUNGARY WEEKLY BUSINESS REPORT

NOTE TO SUBSCRIBERS: Public holiday in Hungary on November 23-24

Hungarian government supports central bank in fighting off speculation against forint

Hungary’s Monetary Policy Council raises base rate by 300 bps to 11.50% in extraordinary session

MONETARY POLICY

UPDATE: Hungary’s Monetary Policy Council holds base rate at 8.50%, as expected

Hungary’s Monetary Policy Council holds base rate at 8.50%, as expected

POLITICS

Hungarian retail sales fall 1.4% y/y in August; down 2.0% y/y in January–August

PRESS: Hungarian PM Gyurcsany "moderately reassured" by Russian PM Putin on market ties

Hungary’s Finance Ministry expects HUF 13.5 bln budget deficit in October, lowers annual forecast

U.S. rescinds visa requirements for Hungary

COMPANY NEWS

REAL ESTATE

Budapest office completions drop in Q3 2008 to 70,000 sqm

Hungary’s construction output falls 6.3% y/y in August

ENERGY NEWS

OIL & PETROCHEMICALS

Hungarian retail gasoline prices to fall HUF 10 per liter this week, diesel down HUF 6

GAS

PRESS: Romanian gas firm Romgaz ups profit 5% y/y to EUR 152 mln in January–September

PRESS: Romania’s Transgaz, Romgaz deny pipeline talks with Gazprom

PRESS: Dutch LPG firm SHV Gas plans further acquisitions in Romania

PRESS: Romanian gas firm Romgaz to invest EUR 50 mln in a in a storage facility

ALTERNATIVE ENERGY

Portuguese electricity company EDP acquires two Romanian wind power firms for EUR 8.4 mln

IT & TELECOMMUNICATIONS

LANDLINE/MOBILE TELECOMS

Hungary announces tenders for two new mobile telecom licenses

TELECOMS SERVICES

Hungarian operations of Swedish media group MTG post SEK 7 mln operating profit in Q3

BANKING & FINANCE NEWS

BANKING

Hungarian gov’t agrees with banks to ease burden on foreign currency loan holders

Hungary’s OTP Bank buys back 1 million shares

INSURANCE

French AXA’s Hungarian banking unit to record HUF 2 bln profit in 2008

EMERGING MARKETS NEWS HIGHLIGHTS

U.S. plans another round of missile defense talks with Russia before Bush steps down

U.S. diplomat accuses Russia of failing to honor ceasefire in Georgia in full

Russian economy well prepared for lengthy external shocks – Putin

FINANCIAL MARKETS

EQUITIES

Budapest Stock Exchange share trading 17–22/10/2008

Budapest Stock Exchange, Indices, 17–22/10/2008

FIXED INCOME

Hungary fixed income benchmark yields 17–22/10/2008

CURRENCY

National Bank of Hungary official exchange rates 17–22/10/2008

Nb: This news report features only the headline of each news.

Agency Interfax