Central banks adjust interest rates amid inflation concerns

The European Central Bank (ECB) has raised interest rates by 25 basis points, bringing the deposit rate to 2.50 percent. This decision, driven by persistent inflation, is expected to impact mortgage affordability in Slovakia and other regions. While the ECB aims to bring inflation down to its 2 percent target, high energy prices continue to pose risks to economic growth.

In Hungary, significant financial shifts are expected toward the end of September. The Magyar Nemzeti Bank is scheduled to hold an interest rate decision and release new inflation forecasts on September 22. Additionally, the current interest rate cap on certain variable-rate mortgage loans is set to expire on September 30, which may lead to increased monthly repayment amounts for affected borrowers.