Hungarian exporters are sounding the alarm over the Hungarian forint’s rapid and unpredictable appreciation, warning that the volatility is eroding profit margins faster than the currency’s strength alone would suggest.
László Perlusz, general secretary of the Hungarian Chamber of Commerce and Industry (VOSZ), stated that numerous companies are now operating at a loss due to the sudden shifts in exchange rates.
Perlusz emphasized that this volatility makes it nearly impossible for firms to plan effectively or hedge their exposure.
The core issue for businesses is not merely a strong currency, but the speed and unpredictability of its movement.
Perlusz emphasized that this volatility makes it nearly impossible for firms to plan effectively or hedge their exposure.
In response, exporters are increasingly urging the Tisza government to facilitate euro-denominated invoicing for international contracts, a move that would shift currency risk away from domestic firms and onto their foreign buyers.
This warning comes as the forint faces renewed market pressure.