BUDAPEST: Hungary’s central bank raised its one-week deposit rate by 50 basis points to 5.85% at a weekly tender on Thursday, extending its rate tightening campaign as the Russian invasion of neighbouring Ukraine roiled Central European markets.

The bank uses the one-week deposit rate to tackle short-term market volatility. On Monday the forint fell to a record low at 400 versus the euro. At 0801 GMT, it traded at 378.4 per euro, still down some 2% for the year.