Financial Times FT.com

Risk of foreign exchange home loans

By David Oakley

Published: November 10 2008 17:58 | Last updated: November 10 2008 17:58

The dangers to the Hungarian and Romanian economies arising from the large number of households with mortgages denominated in euros or Swiss francs have been underlined by new figures.

With the Hungarian forint and Romanian leu under pressure against the euro and the Swiss franc because of rising risk aversion and the weakness of their economies, these households are facing ever higher bills.

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