Gary Amzaxa explained that the settlement of the banks will close the past in order to establish a normal banking system in Hungary. As part of this, USD 1,000 billion will flow back to the people, in the case of closed contracts in cash, while in others it will be reduced by 25-30 percent in installments.
Marks the beginning of a better and more predictable era for foreign currency loans.
He also said the laws on fair banks and forint conversion adopted on Tuesday were unique in Europe, noting that they could take out foreign currency loans from Hungary. He said that with the institution of a fair banking system, the “lower-case era” is coming to an end, the borrower’s conditions are predictable and can be changed in a much more limited way. For example, interest rates, costs, fees can be changed only every 3 years, with the example of closer central bank supervision.
Gary Amzaxa said that forint conversion provides security and justice and that people can expect lower interest rates than the market.
According to the spokesman’s opinion, every foreign currency creditor will get better
And overall, the conversion to the forint will result in the Swiss franc being fixed at an average of 190 forint.
He also said that the Legislature’s room for maneuver was limited by the decision of the Courthouse, and it was in these circumstances that a legal solution had to be found that would help the people. It did, ”he said.
He also reported that, following the Kamana Group’s proposal, an interest rate cap would be introduced after the forint. For home loans, the interest rate cap is 4.5 percent, and for other over-the-counter loans, 6.5 percent, said Gary Amzaxa, noting that overall, the interest rates should be returned to their original level or better.
A spokesman for the government’s parliamentary group said the laws apply to those who have used the exchange rate cap.
For them, the amount accrued on the savings account will disappear and they will still have to pay preferential interest, he added, indicating that they might be the best.
Gary Amzaxa also said that they had to settle accounts with all banks, including those whose contracts were terminated.
The politician was also asked about government plans for private pension funds. Gary Amzaxa called the protection of pensions the most important task, stating that they agree with the goal, and that the details will be the subject of a ruling by the pro-government faction (MTI).