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Oct 21, 2019

Finance Minister urges World Bank to concentrate on problems that lead to migration

“The World Bank, which has made it its mission to overcome global poverty, could play a decisive role in the development of countries affected by migration,” Minister Varga said.

The Finance Minister has urged the World Bank to concentrate on problems that lead to migration.

Mihály Varga made the remark during the annual meetings of the World Bank and the International Monetary Fund (IMF) in Washington DC on Saturday.

“The World Bank, which has made it its mission to overcome global poverty, could play a decisive role in the development of countries affected by migration,” Minister Varga said.

The Minister also said it has become apparent that the global slowdown, which started a year and a half ago, is likely to reach Central and Eastern Europe which warrants the preparation of responses by all countries, be it in terms of monetary or fiscal policy.

Hungary’s government has already used tax preferences as economic stimulus and taken steps to ease the burden on businesses, but further measures are necessary as “the slowdown will probably be deeper than anybody thought earlier,” he said.

The Minister stressed that the government is trying to ensure support for the most competitive, most efficient branches of the economy, while at the same time helping branches which are inefficient to restructure.

Minister Varga said that the IMF is rehashing old ideas such as public-private partnerships (PPPs) and privatization, ideas which Hungary earlier tried out and found to do more harm than good.

“Hungary’s experience has confirmed that nobody is in possession of an exclusive solution that can be used in all countries, which is why Hungary must go its own way,” Minister Varga said. “Our economic growth is becoming more stable and expanding to more and more sectors, and we hope we can keep economic growth over the European Union average in the coming years, too,” he added.