Hungarian Forint Hits Four-Year High after Tisza Victory
The Hungarian forint strengthened against the euro on Monday, reaching its highest level in more than four years after the Tisza party won a strong parliamentary majority.
Investors see the result as a positive signal for the economy and Hungary’s relations with the European Union. The new government could unlock billions of euro in EU funds that have been frozen because of disputes between Viktor Orban’s previous government and Brussels.
The forint strengthened by about 2.5% to 366.15 against the euro in morning trading, its strongest level since February 2022. Analysts said much of the result had already been priced in, but further gains were not ruled out.
The strong mandate gives the Tisza party more room to implement reforms. Peter Magyar, the party’s leader, has described the release of EU funds as a key step toward reviving the economy, which has stagnated in recent years.
Markets had already hinted at expectations of change before the election, with the forint strengthening despite global uncertainty linked to the conflict in the Middle East.