In Hungary, banking and other financial services are regulated by the National Bank of Hungary (MNB), which is the central bank of Hungary and is responsible for the authorization and supervision of the entities, persons and activities of the financial sector — including the financial market, capital market, insurance market and funds market.

Within its supervisory framework, the MNB exercises continuous supervision over the activities of financial and capital market institutions, funds, insurance companies and institutions of the financial infrastructure (regulated market, clearing house and central depository), both on-site and off-site, using the tools of prudential supervision (i.e., supervision investigating the business soundness), as well as market surveillance and consumer protection tools. If necessary, the MNB takes  sanction measures. The purpose of the supervision is to ensure timely recognition and appropriate management of risks in order to avoid jeopardizing the stability of the financial system and the confidence of the financial intermediary therein.

The main objectives of the MNB are to achieve and maintain price stability and define and implement monetary policy, as well as develop a macro-prudential policy framework relating to the stability of the financial intermediary system.

The MNB is also authorized to issue banknotes and coins in Hungary's official currency (HUF) and set the central bank base rate. The MNB plays an important role in financial service regulation by issuing decrees, recommendations and guidelines in relation to EU legislation.

The MNB is a member of the European System of Central Banks and the European System of Financial Supervisors. It carries out the tasks delegated to it from the competencies of the European Banking Authority, the European Insurance and Occupational Pensions Authority, the European Securities and Markets Authority, and the European Systemic Risk Board.

In addition, the MNB acts as AML supervisor for financial services and monitors the activities of financial institutions in relation to preventing and combating money laundering and the financing of terrorism. If immediate action is required, it conducts targeted or topical investigations.

The National Tax and Customs Administration operates as a financial intelligence unit and receives suspicious activity reports.