text: in a comprehensive way. The peaceful, thouqh not at all easy, dismantlinq of totalitarian political rule has most recently culminated in the first free, genuinely democratic, multiparty elections held in our country in more than 40 years. But there is still a lonq way to qo. The new coalition Government to be formed soon will, as will its responsible parliamentary opposition, face unique, unprecedented challenges, especially in the field of the economy, since there are unfortunately no proven ways of transition from command-type central planninq to a market economy. Nevertheless, the inherent risks and difficulties notwithstanding, there is a broad consensus in Hunqary that the countrv•s future rests on a consistent liberalization of the economy, on the redirection of State-sector JP/ASW A/S-18/PV.S 72 (Mr. Somoqyi, Hunqary) activities towards the provision of public services and on an overwhelminq preference for private initiative. The transition to the market economy will have to proceed in the midst of· a major economic crisis inherently frauqht with the riSk of social unrest. Crisis is not an accidental ooncomitant of this transition process, but the sad leqacy of an earlier political and economic system. At this historical turn, there are three major dimensions of change in Hunqary which are organically interlinked. One is the unavoidable chanqes in the entire economic system, such as privatization throuqh the mobilization of domestic savinqs as well as foreign capital inflows and the introduction of currency convertibility. Another lies in the tasks of immediate crisis manaqement, which include the necessity of devising innovative approaches to Hunqary's external debt problem without discouraqinq new voluntary lendinq. The third dimension of chanqe is a diversification and consequent reorientation of Hunqarv's external trade, economic and financial links, includinq the establishment of new b{pes of relations with groups of nat iors that used to be denominated in an earlier era as East, South 
analysis: The text primarily focuses on the economic transformation of Hungary, discussing the challenges of transitioning from a command-type central planning economy to a market economy, the need for privatization, and the importance of diversifying external trade links. The text also touches on the country's economic crisis and the need for innovative approaches to manage it.