Hungarian Government and EBRD buying 15% share each in Erste Bank

(Photo: isak55/shutterstock.com)

The state paid HUF 38.9 billion (EUR 123.5 million) for its share, which it took over through the Corvinus Zrt Fund, stated the Minister for National Economy Mihaly Varga at the press conference after the signing of the agreement, reports the agency MTI. The price was determined with the help of independent experts and market evaluation, he added.

By the 2015 agreement, the Government of Hungary committed itself to lowering banking taxes. After this year's tax rate cuts, more will follow in 2017.

Varga said that Hungarian banks would save around HUF 80 billion thanks to tax cuts, the Hungarian press agency adds.