Hungary ended 2021 with investment grade status from all three major credit rating agencies, Finance Minister Mihály Varga has said.
Varga said this meant investors had confidence in the Hungarian economy in spite of the crisis caused by the pandemic. Hungary’s repayment of 430 million dollars in public debt before maturity, which has allowed the country to save 10 billion forints (EUR 27m), strengthens this confidence, Varga said in a Facebook post. Hungary has also exchanged 1,300 billion forints’ worth of short-term government bonds for long-term bonds with maturity of between 8 and 20 years, he noted. Last year Hungary also became the first country in the world to successfully issue a green “panda” bond targeted at the domestic Chinese market, he added. Another factor that has boosted investor confidence, he said, was that Hungary last month increased its financial reserves by 350 billion forints. Varga added that this would stand the country in good stead when it comes to global economic risks.