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Headline: Hungary – A victim of its own success Source: Euromoney Date: March 2000 Author: Nigel Dudley Hungary is the favoured east European convergence play of many international investors. But the inflow of funds to the domestic bond and equity markets has been tricky to manage. The central bank has slashed interest rates, raising fears about inflation. If Hungary does make it into the EU and EMU, its problems will shift again. Hungary will face the familiar problem of all small euro sovereigns: a disappearing domestic investor base. |
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