KM in Hungary as of July 15

As of 15th July 1999, Budapest Bank and Raiffeisen Bank will commence the sale and purchase of convertible mark of Bosnia and Herzegovina (BAM) in their respective Branches. The whole branch network of Reiffeisen Bank (30 branches in 27 towns) undertakes to change Bosnian marks. As for Budapest Bank, Bosnian mark can be bought in the selected branches of the Bank.

The operations that can be carried out in the branches are as follows:

* Cash sale and purchase of Bosnian marks
* Depositing of Bosnian marks (with conversion) in foreign exchange accounts
* Withdrawing Bosnian marks (with conversion) from foerign exchange accounts

As both Banks quote only foering currency rates in the case of Bosnian marks, there will be no possibility to transfer or credit this foreign exchange. In the case of trade in Bosnian mark the regulations of the Act on Prevention and Impediment of Money Laundering will be observed as well. No limit restrictions will be imposed on trading in BAM.
Following the lead of Austrian, German, Swiss and Croatian banks, Budapest Bank and Raiffeisen Bank will play an important role amongst their partners trading in Bosnian marks.
Both Hungarian banks will provide their new services on the basis of their contract with the Central Bank of Bosnia and Herzegovina. The foreign exchange authority of Bosnia and Herzegovina guarantees the purchase of all the Bosnian marks bought for HUF in DEM. The BAM/ DEM exchange ratio will be 1to 1. The fact that Bosnian marks will be accepted and changed in Hungary is a landmark in strengtening economic, commercial and tourist relations between the two nations.

For further information please contact the CBBH Office of Public Relations at 071/ 444 785 or e-mail [email protected] .