IMF says Hungary to get ‘substantial financing package’

WASHINGTON, October 26, 2008 (AFP) – The head of the International Monetary Fund Dominique Strauss-Kahn announced on Sunday that a “substantial financing package” would be announced for Hungary in the next few days.

“An IMF staff mission and the Hungarian authorities, in close consultation with the EU, have reached broad agreement on a set of policies that will bolster the Hungarian economy’s near-term stability and improve its long-term growth potential,” the IMF managing director said in a statement.

“A substantial financing package in support of these strong policies will be announced when the program is finalized in the next few days.”

He said the IMF, the European Union, and some individual European governments would take part with the financing package and that the policies would “ensure fiscal sustainability and strengthen the financial sector.”

“The policies Hungary envisages justify an exceptional level of access to Fund (IMF) resources,” Strauss-Kahn said, adding that the final decision on the granting of loans would be taken by the IMF board.

The IMF offered help for Hungary’s economy last week and the European Central Bank has offered to lend the Hungarian central bank up to fiv