Hungary was immediately and significantly affected by global deleveraging because of its high external and public debt in conjunction with its close international financial integration. These vulnerabilities had built up over many years, rather than in the context of a precrisis boom of domestic demand, and fiscal consolidation efforts came too late to redress them. Just three weeks after the collapse of Lehman Brothers, Hungary became the first country in emerging Europe to request financial assistance from the IMF when it found its gross financing needs impossible to meet on its own. A strong policy response, together with significant official support from the IMF and the EU, restored financial stability and mitigated the economic downturn. A change of government led to the premature lapse of the program in July 2010 and partial policy reversals. Consequently, Hungary came under renewed pressure as the euro area crisis intensified in the second half of 2011.
Abiad, A., D. Leigh, and A. Mody, 2007, “International Finance and Income Convergence: Europe Is Different,” IMF Working Paper No. 64 (Washington: International Monetary Fund).
Allen, W., and R. Moessner, 2010, “Central Bank Co-operation and International Liquidity in the Financial Crisis of 2008–09,” BIS Working Paper No. 310 (Basel: Bank for International Settlements).
Anastasakis, O., and M. Watson, 2011, “Introduction—Reform Challenges and Growth Prospects in South East Europe,” in From Crisis to Recovery: Sustainable Growth in South East Europe, ed. by O. Anastasakis, J. Bastian, and M. Watson (Oxford: South East European Studies at Oxford).
Andersen, C., 2009, “Agreement with Banks Limits Crisis in Emerging Europe,” IMF Survey Online. Available via the Internet: xlink:href="http://www.imf.org/external/pubs/ft/survey/so/2009/int102809a.htm">http://www.imf.org/external/pubs/ft/survey/so/2009/int102809a.htm.
Åslund, A., 2007, How Capitalism Was Built; The Transformation of Central and Eastern Europe, Russia, and Central Asia (Washington: Peterson Institute for International Economics).
Åslund, A., 2010, The Last Shall Be the First: The East European Financial Crisis (Washington: Peterson Institute for International Economics).
Atoyan, R., 2010, “Beyond the Crisis: Revisiting Emerging Europe’s Growth Model,” IMF Working Paper No. 10/92 (Washington: International Monetary Fund).
Austrian National Bank (Oesterreichische Nationalbank), 2010, Focus on European Economic Integration, 2010:Q1 (Vienna).
Backé, P., B. Égertz, and Z. Walko, 2007, “Credit Growth in Central and Eastern Europe Revisited,” in Focus on European Economic Integration No. 02 (Vienna: Oesterreichische Nationalbank).
Bakker, B., and L. Christiansen, 2011, “Crisis and Consolidation—Fiscal Challenges in Emerging Europe,” in Limited Fiscal Space in CESEE: Needs and Options for Post-crisis Reform, ed. by P. Mooslechner and D. Ritzberger-Grünwald (Vienna: Oesterreichische Nationalbank).
Bakker, B., and A. M. Gulde, 2010, “The Credit Boom in the EU New Member States: Bad Luck or Bad Policies?” IMF Working Paper No. 10/130 (Washington: International Monetary Fund).
Bakker, B., and L. Lipschitz, 2011, “Monetary Policy Challenges in the CESEE Region: Architecture for an Earthquake Zone,” in Post-crisis Growth and Integration in Europe: Catching-Up Strategies in CESEE Economies, ed. by E. Nowotny, P. Mooslechner, and D. Ritzberger-Grünwald (Cheltenham, U.K.: Elgar).
Bakker, B., and I. Vladkova-Hollar, 2006, “Asia 1996 and Eastern Europe 2006, Deja-Vu All Over Again?” (unpublished; Washington: International Monetary Fund).
Baldwin, R., 2009, The Great Trade Collapse: Causes, Consequences and Prospects. ( xlink:href="http://VoxEU.org">VoxEU.org). Available via the Internet: xlink:href="http://www.voxeu.org/reports/great_trade_collapse_print.pdf">http://www.voxeu.org/reports/great_trade_collapse_print.pdf.
Banerji, A., and J. Kähkönen, 2007, “Real Convergence and the Balance of Payments,” paper presented at the ECB Conference on Central, Eastern and South-Eastern Europe, Frankfurt am Main, October.
Barkbu, B., and L. Ong, 2010, “FX Swaps: Implications for Financial and Economic Stability,” IMF Working Paper No. 10/55 (Washington: International Monetary Fund).
Becker, T., D. Daianu, Z. Darvas, V. Gligorov, M. Landesmann, P. Petrovic, J. Pisani-Ferry, D. Rosati, A. Sapir, and B. Weder di Mauro, 2010, Whither Growth in Central and Eastern Europe? Policy Lessons for an Integrated Europe, Bruegel Blueprint No. 11 (Brussels: Bruegel).
Bini Smaghi, L., 2007, “Real Convergence in Central, Eastern and South-Eastern Europe,” Speech at the ECB Conference on Central, Eastern and South-Eastern Europe, Frankfurt am Main, October. Available via the Internet: xlink:href="http://www.ecb.int/press/key/date/2007/html/sp071001_2.en.html">http://www.ecb.int/press/key/date/2007/html/sp071001_2.en.html
Blanchard, O., G. Dell’Ariccia, and P. Mauro, 2010, “Rethinking Macroeconomic Policy,” IMF Staff Position Note No. 10/03 (Washington: International Monetary Fund).
Boorman, J., T. Lane, M. Schulze-Ghattas, A. Bulíř, A. R. Ghosh, A. Mourmouras, and S. Phillips, 2000, “Managing Financial Crises: The Experience in East Asia,” IMF Working Paper No. 00/107 (Washington: International Monetary Fund).
Cihák, M., and W. Fonteyne, 2009, “Five Years After: European Union Membership and Macro-financial Stability in the New Member States,” IMF Working Paper No. 09/68 (Washington: International Monetary Fund).
Citigroup, 2008, “Western Europe’s Banks—Eastern Europe’s Problem?” Economic & Market Analysis—Economics, October 13.
Consensus Economics, 2007, “Eastern Europe Consensus Forecasts,” March 19.
Demekas, D., and M. Khan, 1991, “The Romanian Economic Reform Program,” IMF Working Paper No. 91/80 (Washington: International Monetary Fund).
Deutsche Bank, 2008, “CEE Banking Systems—Risks of a Systemic Crisis?” Global Market Research—Macro, October 15.
Duenwald, C., N. Gueorguiev, and A. Schaechter, 2005, “Too Much of a Good Thing? Credit Booms in Transition Economies: The Cases of Bulgaria, Romania, and Ukraine,” IMF Working Paper No. 05/128 (Washington: International Monetary Fund).
Enoch, C., and I. Ötker-Robe, eds., 2007, Rapid Credit Growth in Central and Eastern Europe: Endless Boom or Early Warning? (Basingstoke, UK: Palgrave Macmillan).
EBCI (European Bank Coordination Initiative), 2012, Managing NPLs in Emerging Europe, Report by the Working Group, presented to the Full Forum Meeting, Brussels, March 12–13. Available via the Internet: xlink:href="http://www.imf.org/external/region/eur/pdf/2012/030112.pdf">http://www.imf.org/external/region/eur/pdf/2012/030112.pdf.
EBRD (European Bank for Reconstruction and Development), 2009, Transition Report 2009: Transition in Crisis? (London). Available via the Internet: xlink:href="http://www.ebrd.com/pubs/econo/tr09.htm">http://www.ebrd.com/pubs/econo/tr09.htm.
Epstein, N., and C. Macchiarelli, 2010, “Estimating Poland’s Potential Output: A Production Function Approach,” IMF Working Paper No. 10/15 (Washington: International Monetary Fund).
Fabris, N., D. Vukajlović-Grba, T. Radunović, and J. Janković, 2004, “Economic Policy in Dollarized Economies with a Special Review of Montenegro,” Working Paper No. 1 (Podgorica: Central Bank of Montenegro).
Gagales, A., 2008, “Convergence and Euroization in Montenegro,” in Montenegro: Selected Issues Paper, IMF Country Report No. 08/49 (Washington: International Monetary Fund).
Ghosh, A. R., A. Gulde, and H. C. Wolf, 2003, Exchange Rate Regimes, Choices and Consequences (Cambridge, Massachusetts: MIT Press).
Ghosh, A. R., J. D. Ostry, and C. Tsangarides, 2010, Exchange Rate Regimes and the Stability of the International Monetary System, IMF Occasional Paper No. 270 (Washington: International Monetary Fund).
Herzberg, V., 2010, “Assessing the Risk of Private Sector Debt Overhang in the Baltic Countries,” IMF Working Paper No. 10/250 (Washington: International Monetary Fund).
Hilbers, P., I. Ötker-Robe, and C. Pazarbasioglu, 2007, “Analysis of and Policy Responses to Rapid Credit Growth, in Rapid Credit Growth in Central and Eastern Europe: Endless Boom or Early Warning, ed. by C. Enoch and I. Ötker-Robe (Washington: International Monetary Fund).
International Monetary Fund, 1999, “The Role of the Currency Board in Bulgaria’s Stabilization,” IMF Policy Discussion Paper No. 99/3 (Washington: International Monetary Fund).
International Monetary Fund, 2004, Romania: Ex Post Assessment of Longer-Term Program Engagement, IMF Country Report No. 04/113 (Washington). Available via the Internet: xlink:href="http://www.imf.org/external/pubs/cat/longres.aspx?sk=17353.0">http://www.imf.org/external/pubs/cat/longres.aspx?sk=17353.0.
International Monetary Fund, 2005, Hungary: Financial System Stability Assessment Update, Including a Report on the Observance of Standards and Codes, IMF Country Report No. 05/212 (Washington). Available via the Internet: xlink:href="http://www.imf.org/external/pubs/cat/longres.cfm?sk=18358.0">http://www.imf.org/external/pubs/cat/longres.cfm?sk=18358.0.
International Monetary Fund, 2007, World Economic Outlook, October (Washington).
International Monetary Fund, 2008a, Regional Economic Outlook: Europe, April (Washington).
International Monetary Fund, 2008b, Republic of Poland: Staff Report for the 2007 Article IV Consultation, IMF Country Report No. 08/130 (Washington).
International Monetary Fund, 2008c, Republic of Lithuania: Financial System Stability Assessment—Update, April 22, 2008, IMF Country Report No. 08/137 (Washington). Available via the Internet: xlink:href="http://www.imf.org/external/pubs/cat/longres.cfm?sk=21910.0">http://www.imf.org/external/pubs/cat/longres.cfm?sk=21910.0.
International Monetary Fund, 2009a, Regional Economic Outlook: Europe, May (Washington).
International Monetary Fund, 2009b, Regional Economic Outlook: Europe, October (Washington).
International Monetary Fund, 2009c, Republic of Lithuania: Staff Report for the 2009 Article IV Consultation, Country Report No. 09/322 (Washington).
International Monetary Fund, 2009d, Review of Recent Crisis Programs (Washington). Available via the Internet: xlink:href="http://www.imf.org/external/np/pp/eng/2009/091409.pdf">http://www.imf.org/external/np/pp/eng/2009/091409.pdf.
International Monetary Fund, 2009e, “IMF Executive Board Backs US$250 Billion SDR Allocation to Boost Global Liquidity,” Press Release No. 09/264 (Washington). Available via the Internet: xlink:href="http://www.imf.org/external/np/sec/pr/2009/pr09264.htm">http://www.imf.org/external/np/sec/pr/2009/pr09264.htm.
International Monetary Fund, 2009f, “Guidance Note for Fund Staff on the Treatment and Use of SDR Allocations,” IMF Executive Board Paper, August 28 (Washington). Available via the Internet: xlink:href="http://www.imf.org/external/np/pp/eng/2009/082809.pdf">http://www.imf.org/external/np/pp/eng/2009/082809.pdf.
International Monetary Fund, 2010a, “Does Lithuania Have a Competitiveness Problem?” Lithuania: Selected Issues Paper, Country Report No. 10/202 (Washington: International Monetary Fund).
International Monetary Fund, 2010b, Regional Economic Outlook: Europe, May (Washington).
International Monetary Fund, 2010c, Republic of Estonia: Staff Report for the 2009 Article IV Consultation, IMF Country Report No. 10/4 (Washington).
International Monetary Fund, 2010d, Republic of Serbia: Staff Report for the 2010 Article IV Consultation, Third Review Under the Stand-By Arrangement, and Financing Assurances Review, IMF Country Report No. 10/93 (Washington).
International Monetary Fund, 2011a, Former Yugoslav Republic of Macedonia: Staff Report for the 2010 Article IV Consultation and Request for an Arrangement under the Precautionary Credit Line, IMF Country Report No. 11/42 (Washington).
International Monetary Fund, 2011b, Regional Economic Outlook: Europe, May (Washington).
International Monetary Fund, 2011c, Ukraine: Ex Post Evaluation of Exceptional Access under the 2008 Stand-By Arrangement, IMF Country Report No. 11/325 (Washington: International Monetary Fund).
Kapsoli, J., 2010, “Estimating the Structural Fiscal Balance in Montenegro,” in Montenegro: Staff Report for the 2010 Article IV Consultation, IMF Country Report No. 10/155 (Washington: International Monetary Fund).
Laeven, L., and F. Valencia, 2008, “Systemic Banking Crisis: A New Database,” IMF Working Paper No. 08/224 (Washington: International Monetary Fund).
Laeven, L., and F. Valencia,, 2010, “Resolution of Banking Crises: The Good, the Bad, and the Ugly,” IMF Working Paper No. WP/10/146 (Washington: International Monetary Fund).
Lipschitz, L., T. Lane, and A. Mourmouras, 2002, “Capital Flows to Transition Economies: Master or Servant?” IMF Working Paper No. 02/11 (Washington: International Monetary Fund).
Llaudes, R., F. Salman, and M. Chivakul, 2010, “The Impact of the Great Recession on Emerging Europe,” IMF Working Paper No. 10/237 (Washington: International Monetary Fund).
Lucas, R. E., 1990, “Why Doesn’t Capital Flow from Rich to Poor Countries?” American Economic Review, Vol. 80, No. 2, pp. 92–6.
Luengnaruemitchai, P., and S. Schadler, 2007, “Do Economists’ and Financial Markets’ Perspectives on the New Members of the EU Differ?” IMF Working Paper No. 07/65 (Washington: International Monetary Fund).
Marin, J., 2002, “Sustainability of Public Finances and Automatic Stabilisation Under a Rule of Budgetary Discipline,” ECB Working Paper No. 193 (Frankfurt: European Central Bank).
Menegatti, C., and N. Roubini, 2006, “Vulnerabilities in Central and Southern Europe,” Roubini Global Economics (online). Available via the Internet: xlink:href="http://www.rgemonitor.com">www.rgemonitor.com.
Mitra, P., M. Selowski, and J. Zalduendo, 2009, Turmoil at Twenty: Recession, Recovery and Reform in Central and Eastern Europe and the Former Soviet Union (Washington: World Bank).
Purfield, C., and C. Rosenberg, 2010, “Adjustment under a Currency Peg: Estonia, Latvia and Lithuania during the Global Financial Crisis 2008–09,” IMF Working Paper No. 10/213 (Washington: International Monetary Fund).
Rahman, J., 2008, “Current Account Development in the New Member States of the European Union: Equilibrium, Excess and EU-Phoria,” IMF Working Paper No. 08/92 (Washington: International Monetary Fund).
Rahman, J., 2010, “Absorption Boom and Fiscal Stance: What Lies Ahead in Eastern Europe?” IMF Working Paper No. 10/97 (Washington: International Monetary Fund).
Rosenberg, C. B., and R. Sierhej, 2007, “Interpreting EU Funds Data for Macroeconomic Analysis in the New Member States,” IMF Working Paper No. 07/77 (Washington: International Monetary Fund).
Rosenberg, C. B., and M. Tirpák, 2008, “Determinants of Foreign Currency Borrowing in the New Member States of the EU,” IMF Working Paper No. 08/173 (Washington: International Monetary Fund).
Sanfey, P., 2011, “South East Europe: Lessons from the Global Economic Crisis,” in From Crisis to Recovery: Sustainable Growth in South East Europe, ed. by O. Anastasakis, J. Bastian, and M. Watson (Oxford: South East European Studies at Oxford).
Sirtaine, S., and I. Skamnelos, 2007, “Credit Growth in Emerging Europe: A Cause for Stability Concerns?” World Bank Policy Research Working Paper No. 4281 (Washington: World Bank). Available via the Internet: xlink:href="http://ssrn.com/abstract=1003062">http://ssrn.com/abstract=1003062.
Sorsa, P., B. Bakker, C. Duenwald, A. M. Maechler, and A. Tiffin, 2007, “Vulnerabilities in Emerging Southeastern Europe—How Much Cause for Concern?” IMF Working Paper No. 07/326 (Washington: International Monetary Fund).
Vukotic, V., 2004, “Elements for Understanding Economic Reforms in Montenegro,” Working Paper No. 047 (Vienna: WIIW Balkan Observatory). Available via the Internet: xlink:href="http://balkan-observatory.net/wp/2004%2006%20wiiw%20bo%20wp%20047.pdf">http://balkan-observatory.net/wp/2004%2006%20wiiw%20bo%20wp%20047.pdf.
Wolf, H., H. Berger, A. Ghosh, and A. M. Gulde, 2008, “Euro-Based Currency Boards: Introduction,” in Currency Boards in Retrospect and Prospect (Cambridge, Massachusetts: MIT Press).
World Bank, 2009, “Croatia’s EU Convergence Report: Reaching and Sustaining Higher Rates of Economic Growth,” Report No. 48879-HR (Washington).
International Monetary Fund Copyright © 2010-2021. All Rights Reserved.