After a tumultuous relationship in its first two years in office, Fidesz appears poised to reconcile with the banking sector. Banks have received many blows under the Orbán government, and not just from the business effects of a sluggish economy. They were called on to contribute massively towards the government’s deficit target in the form of a special bank tax, then they lost management of the private pension funds and were effectively commanded to take vast losses stemming from the government’s policies concerning the foreign currency denominated housing loans. Now PM Viktor Orbán himself has promised to set the relationship right, and the Bank Association is already hoping that the bank tax will be rescinded. The new approach ought to please especially Brussels and the IMF, and this consideration is likely the inspiration for the change of tune.

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