Hungarian National Bank

Forint

The Hungarian National Bank ( Magyar Nemzeti Bank) is the central bank of Hungary. The primary objective of the Bank is to ensure price stability. The Bank is also responsible to issue the national currency, the Hungarian forint, by controlling the cash circulation, the prime rate is published official currency exchange rates and the national foreign exchange and gold reserves affected. Thus, the Magyar Nemzeti Bank controls the monetary policy of their country.

The MNB is sticking to a medium-term inflation target of about 3%. This target is slightly higher than the generally accepted level of inflation in Europe. This is justified by the fact that they wanted to give the Hungarian economy the opportunity to catch up with its prices to European levels.

The President of the Central Bank is appointed by the President of Hungary on the proposal of the Prime Minister. His term of office is six years. The most important decision-making body of the Hungarian Central Bank is the monetary council. The 1905 by architect Ignatius Alpár designed headquarters of the MNB is located in downtown Budapest on Szabadság tér, next to the U.S. Embassy.

In Hungarian law, the role of the MNB is laid down as follows: