No threat of deflation in Hungary, PM says

BUDAPEST Mon Jan 20, 2014 12:03pm EST

BUDAPEST Jan 20 (Reuters) - There is no threat of deflation in the Hungarian economy despite price growth running near historic lows, Prime Minister Viktor Orban said on Monday.

"Hungary is a country where inflation has to be looked for under a microscope, without, however, there being any deflationary threat in the economy," Orban told a conference.

Annual inflation fell to 0.4 percent in December, the lowest in 43 years, due largely to government-imposed cuts in household energy prices, as well as lower food prices. (Reporting by Gergely Szakacs)