Bank blamed as forint hits upper limit vs euro

Hungary's central bank was under fire Tuesday for its high interest rate policy after the national currency, the forint, rose to the upper limit of its trading band against the euro.

The Hungarian National Bank, which is independent of the government, has kept interest rates high in an effort to bring inflation below 4.5 per cent by the year end. Inflation in the first 11 months of 2002 was 5.3 per cent.

Industrialists and politicians from the centre-left government have blamed the national ban