The National Bank of Hungary (NBH) raised its one-week deposit rate by 50 basis points in Thursday in a move that the markets were not expecting. The bank’s deputy governor, Barnabás Virág, said the measure was in response to emerging risks, adding that the cycle of rate hikes must continue until inflations peaks. “We’re far from” the end of the tightening cycle, he said. Virág said the bank was likely to raise its inflation forecast in its next quarterly Inflation Report due out late in June. He noted the bank’s current 2022 forecast of 7.5-9.8% in its inflation report released in March.