By Gergely Szakacs
BUDAPEST (Reuters) - Hungary's new prime minister Viktor Orban won parliamentary approval for his centre-right government and programme on Saturday, clearing the way for measures to revitalise the recession-hit economy.
Orban, whose Fidesz party won elections by a landslide last month, was supported by 261 lawmakers while 107 MPs voted against him. Eighteen lawmakers did not take part in the vote.
"My hope is that the economic fact-finding committee will present at least an interim report to the government next week," Orban told parliament, referring to an audit of public finances performed by his state secretary Mihaly Varga.
"We have before us the task of changing the constitution, saving the health care system, restoring public order and putting the economy back onto its feet."
Orban submitted his government programme to parliament last week with promises to cut taxes to boost growth after the economy suffered its worst downturn in almost two decades last year, contracting by 6.3 percent.
It is expected to grow by 0.5 percent this year.
The programme contains scant details however on how Hungary plans to achieve a sustainable and low budget deficit and reduce its state debt, the highest in central Europe at about 80 percent of GDP, as agreed with international lenders.
The budget deficit was 4 percent of GDP last year after deep spending cuts under the monitoring of the International Monetary Fund and the European Union.
A quarterly review of Hungary's $25.1 billion financing deal with the IMF and the EU is due next month.
Economy Minister Gyorgy Matolcsy said this week the government's priority would be to kick-start the economy and reduce unemployment from a 17-year high, betting that higher growth will help cut the deficit and debt in the long run.
Orban, whose government will first sit formally on Monday, has also pledged to resolve issues of cooperation with the central bank, which came under repeated attacks from Fidesz for what they said was a mismanagement of the economic crisis.
The central bank will meet on Monday and is expected to keep rates steady at a record low of 5.25 percent due to heightened market volatility, after 10 successive months of easing.
