The MNB may raise interest rates again tomorrow

Experts are confident that the Monetary Council will raise the base rate by another 100 basis points
to 11.75 percent on Tuesday, and then on Thursday, in line with this, the same tightening may come
in the case of the benchmark one-week deposit rate. If it does not, it would be a huge surprise, but it
is the failure to take decisions with a high degree of certainty that has the greatest market impact, so
the decision holds excitement - especially as the forint has weakened again in recent days. In the
light of the very busy economic situation, the central bank's communication will also be worth
watching.

The budget cuts have failed: the confidence of Hungarian people and businesses has been shattered

August marks the fourth month of continued deterioration in business and consumer expectations.
According to a survey by GKI Economic Research, business expectations have fallen by around 13
points since April this year, while consumer expectations have fallen by nearly 30 points, and the
latter's fall was also the most pronounced in August. The business confidence index will rise in spring
2021 and the consumer index in spring 2020, due to the Covid epidemic The last time it was at a
similar low was during the panic caused by the restrictions imposed in 2020. This is the first time in
August that consumer sentiment may have reflected the impact of the announcement of the hikes.

Leaked: EU suspends visa waiver agreement with Russia

EU foreign ministers will back the suspension of the bloc's visa facilitation agreement with Moscow
this week in a bid to reduce the number of entry permits issued after some eastern member states
threatened to unilaterally close their borders to Russian tourists, the Financial Times reports.

Inflation is outstripping all previous expectations in Hungary. After the release of the latest July
inflation data, analysts have revised their inflation expectations upwards, and it is possible that the
Hungarian economy could suffer nearly three times the 5% average annual rate of money
depreciation originally planned by the government. This could leave the public budget rubbing its
palms in the dust, as the turnover-type revenues are pouring into the budget, partly due to higher
prices: in the seventh month of this year alone, the budget swallowed HUF 723 billion in VAT
revenues.

Brutal energy crisis already underway in Hungary's neighbourhood, millions of refugees could be on
the move

Energy shortages in eastern Europe and massive damage to Ukraine's civil infrastructure could send
another wave of Ukrainian refugees across international borders later this year in the colder months.
This will particularly affect those living in Ukraine's eastern provinces, who are most vulnerable to the
effects of the war. But this also poses serious challenges for Europe as it faces a growing
humanitarian crisis alongside the energy crisis.

Péter Márki-Zay talks to those who he says lied about him during the campaign
The former prime ministerial candidate of the opposition has published a video of the Tranzit festival
organised by Fidesz, where he had a conversation with the staff of the Megafon Centre, which made
a lot of videos about him during the election campaign.

Mol reacts to the arrest of INA executives

On Saturday, several INA executives were detained at the Croatian oil company on suspicion of
money laundering and abuse in natural gas trading. Mol learned at press time that executives of INA,
which it owns, had been arrested.

US ambassador to Hungary revealed

David Pressman has been appointed US ambassador to Hungary after the Senate approved the
diplomat and human rights lawyer's nomination by a 61-30 vote. The 45-year-old was nominated for
the post by Joe Biden in May. The ambassador has since been learning Hungarian, which he shared
with his followers on Facebook.

David Pressman also set out his goals for Hungary on his social media page: they are, he wrote, clear.

"Serving as the United States Ambassador to Hungary is an opportunity to bring our countries closer
together and deepen the ties between our economies and our people," he wrote. "This is also very
important because the destinies of our two nations are already closely intertwined," he added.

A free and secure Europe, of which Hungary is an integral part, is essential for a free and secure
United States, he concluded the post.

Budapest universities may merge

As of 1 September, László Palkovics will once again be responsible for higher education in the
government, this time not as state secretary but as innovation minister. 24.hu has learned from
university sources that at the same time, the plan to merge the universities of Budapest may come
up again. The rector of Budapest University, László Borhy, has reportedly already been considered.
He is currently the rector of ELTE.

Gergely Karácsony and his family are again warning of bankruptcy

The Karácsonys are again alarmed by Budapest's inoperability; according to Deputy Mayor Ambrus
Kiss, it is uncertain whether the capital will have sufficient financial resources by the end of the year.
This is not the first time that the city's leadership has claimed that Budapest is on the verge of
bankruptcy.

Large groups of migrants are heading for the Hungarian border: 'I tried the Hungarian fence, but the
police caught me'
The number of illegal immigrants near the Serbian-Hungarian border is increasing. They are heading
to the Hungarian border in large groups at night and during the day to try to enter the European
Union illegally.

Almost one thousand five hundred border crossers were arrested by the police over the weekend

The National Police Headquarters informed MTI on Monday that police and soldiers took measures
against 1,487 border crossers from Friday to Sunday.

According to the statistics on the police website, 460 foreigners illegally staying in the country were
arrested and escorted through the temporary security border on Friday, 571 on Saturday and 443 on
Sunday. In addition, 13 border crossers were apprehended inside the country and aliens' proceedings
were initiated against them.

In the past week, 3840 border crossers were arrested and escorted back into the country. In the
previous week, from 15 to 21 August, the total number of apprehended persons was 4503. In
addition, 63 border crossers were apprehended inside the country last week and subjected to aliens'
proceedings. A total of 52 suspects were prosecuted for smuggling of human beings, according to the
police summary.

Energy crisis: skyrocketing prices are already causing problems for people in welfare states such as
Denmark and the Netherlands

The Netherlands is facing growing problems with rising energy prices. The government is planning a
support package for families, but they and employers are also expected to do their part to tackle the
crisis. In Denmark, people have also been urged to save. One electricity company, for example, has
suspended fixed-price contracts because it cannot keep to its pre-set tariffs, M1 News reported.