Hungary to give subsidized loans to firms, raise budget gap to 2.7%/GDP - PM Orban

Hungary will raise this year's budget deficit to 2.7% of economic output from 1% to help finance an economic stimulus package including massive subsidized loans to Hungarian companies, Prime Minister Viktor Orban said on Monday.

Orban said the package, which would amount to 18%-20% of GDP including the central bank's programmes, will help jump-start the economy, which has taken a major hit from the novel coronavirus pandemic.

He said subsidized loans to Hungarian firms would total about 2 trillion forints ($6 billion). ($1 = 335.3300 forints)