Hungary's Central Bank Reduces Key Interest Rate Following Inflation Decline

Hungary's central bank has reduced its key interest rate for the first time in nearly 18 months, responding to a decrease in inflation that has fallen below the bank's target. Bloomberg posted on X that this decision marks a significant shift in the country's monetary policy, aimed at stimulating economic growth amid changing financial conditions. The central bank's move comes as inflation rates have shown a consistent downward trend, providing room for adjustments in interest rates. This development is expected to impact various sectors of the economy, potentially influencing consumer spending and investment activities. The decision reflects the central bank's commitment to maintaining economic stability and supporting growth through strategic monetary interventions.