Official says Hungary's economy 'grave'

June 4, 2010 7:52:16 AM PDT
BUDAPEST, Hungary (AP) - The spokesman for Hungary's prime minister says the country's economy is in a "grave" situation but that the government is ready to avoid a crisis like the one being faced by Greece.Peter Szijjarto says that a fact-finding panel will present a preliminary report on the state of the economy likely during the weekend, to be followed within 72 hours by a government action plan.

Szijjarto says in comments made Friday that despite the crisis, the center-right Fidesz government, which won a landslide in April's elections, plans to keep its campaign promise and implement tax cuts.

Hungary received a bailout of 20 billion euros (billion) from the International Monetary Fund and other late in 2008 to help it avoid a default on its loans.