Hungary govt sees 0.5 pct growth in 2010

BUDAPEST, June 22 (Reuters) - Hungary's economy will grow by 0.5 percent in 2010 instead of a previously seen contraction of 0.4 percent, Economy Minister Gyorgy Matolcsy wrote in Tuesday's edition of the daily Vilaggazdasagday.

He said the growth would yield an additional 100 billion forints ($443.2 million) in tax revenue, which would help offset budget costs stemming from corporate tax cuts and the eradication of minor taxes worth a combined 85 billion forints.

The central bank forecast economic growth at 0.9 percent for 2010 in its latest inflation report versus a 0.2 percent contraction expected earlier.

(Reporting by Marton Dunai, editing by Mike Peacock) ($1=225.60 Hungarian Forint) Keywords: HUNGARY GROWTH/ ([e-mail]; [phone]; Reuters Messaging: [e-mail]) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.