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Central bank: Hungarian model could have extreme repercussions for international reserves

Author: spez
ZAGREB, Jan 21 (Hina) - The Hungarian model of converting housing loans pegged to foreign currencies into loans tied to the domestic currency would reduce Croatia's international reserves by more than 70 percent, which could have unforeseen consequences and it would be good if banks and their clients with loans signed new loan agreements based on the current value of each debtor's real estate and their credit worthiness, says an analysis released by the Croatian National Bank (HNB) on Wednesday.

(Hina) sp

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