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Hungary Held Talks With Russia’s VEB on Malev Revival, Napi Says

Hungarian negotiators held talks with Vnesheconombank, Russia’s state development bank known as VEB, on a possible loan to revive the collapsed state-owned carrier Malev Zrt., Napi Gazdasag reported.

Hungary is seeking to shield the budget and protect jobs with the effort, the Budapest-based business newspaper said, without citing anyone. VEB has provided 120 million euros ($159 million) in loans to Malev and still has a stake in it, according to Napi.

Hungary acquired a 95 percent stake in Malev in 2010 to replace VEB as a controlling shareholder when a previous privatization failed.

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