Hungary is pre-paying EUR 78.2 million, the amount the country has hitherto drawn from the credit line provided by Russia, Minister for National Economy Mihály Varga told business daily Világgazdaság. Maintaining the loan agreement in the long term, he said, was nonetheless necessary as it provided a safety net for the project.

The transaction, through which the country saves interest rate costs, has been facilitated by the good performance of the Hungarian economy and favourable conditions on the international financial markets, he emphasised.

He reminded that the interest rate on the loan was 3.95 percent and that Hungary had the right to make early repayment of any part of the loan at face value and without any additional charges.

Russia’s Finance Minister Anton Siluanov has been notified and the transaction may take place after 90 days, he said.

(Ministry for National Economy)