June 17 (Reuters) – Hungary’s new government will start negotiations in July with the International Monetary Fund and EU about a new loan agreement, a chief aide to the prime minister said on Thursday.
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“I hope there will be (an agreement)…The delegations (of IMF and EU) will come here in early July; we will sit down to negotiate then so that there can be a new agreement,” Gyorgy Szapary, chief aide to Prime Minister Viktor Orban, told television m1.
“We are thinking about possibly extending (the current aid deal) until December so that there is no break in the programme, because we think that potentially we could get another agreement for 2011,” Szapary said.
He added that Hungary did not plan to draw down the currently available tranches of its existing loan for now, but said the funds may have to be used if the global sentiment turns unfavourable.
(Reporting by Marton Dunai; Editing by Kim Coghill)