Hungary’s central bank governor, Mihály Varga, indicated the beginning of a period of gradual interest rate reductions. He stated that eliminating price controls—known as “price caps”—would not jeopardize price stability within the country. Varga anticipates further rate cuts throughout the summer months. The central bank will assess the economic situation in the autumn to determine the future course of monetary policy. This suggests a proactive approach to managing inflation and stimulating economic growth. The governor’s comments signal a shift in monetary strategy following a period of tighter financial conditions. The move aims to balance controlling inflation with supporting economic activity.