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1 CET - 3 October 1995 (mind)  85 sor     (cikkei)

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Tuesday, 03 October 1995
Volume 2, Issue 191


BUSINESS NEWS
-------------

**THE MINISTRY OF REALISM**
  Hungary's Industry and Trade Ministry and the Finance Ministry
  disagree about the country's growth rate over the next few
  years. Industry and Trade Minister Imre Dunai said Hungary's
  Gross Domestic Product, or GDP, should grow by an anual rate
  of 2 to 3 percent over the next 3 to 5 years.  Dunai said he
  doubts the Finance Ministry's more optimistic GDP forecasts of
  2 to 3 percent in 1997 and 4 to 5 percent in 1998.  But he
  wouldn't say why.  Dunai said his figures are based on
  predicted industrial growth of 5 to 6 percent in the next few
  years.  He added Hungary has lost 30 percent of its industrial
  capacity since 1990, about the same as in World War II.
  However, there've been some encouraging signs recently.
  According to Dunai, Hungarian industrial exports grew by 30
  percent this year and last year. --David Fink


**GERMAN CAPITAL KEEPS HUNGARIANS MOVING**
  Hungarian Prime Minister Gyula Horn and German Chancellor
  Helmut Kohl signed an agreement yesterday guaranteeing $350
  million in bank credits.  Two German states, Bavaria and
  Baden-Wuerttemberg, each contributed another $175 million in
  further guarantees.  Bonn's credits will be linked to specific
  projects designed to boost Hungary's transportation sector,
  infrastructure, energy conservation, and small and
  medium-sized businesses.  The two German states' guarantees
  are linked to investment in Hungarian companies in which
  German firms have a stake.


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