LUXEMBOURG, June 7 (Reuters) - Euro zone finance ministers on Monday played down market concerns that Hungary, which is outside the bloc, could plunge into a debt crisis like Greece and said Budapest's troubles did not threaten the currency area.
Hungarian government officials spooked markets last week by suggesting Hungary could face a Greek-style debt scenario but ministers have rowed back on those comments, insisting a budget deficit target of 3.8 percent of GDP remained their goal.
Some officials had said earlier that the deficit could reach 7 percent.
"I do not see any problem at all with Hungary. I only see the problem that leading politicians from Hungary talk too much," said Jean-Claude Juncker, who chairs meetings of finance ministers from the 16-country euro zone.
Asked whether Hungary's debt situation posed a risk to the currency area, Austrian Finance Minister Josef Proel said: "I do not think that Hungary can present a danger."
Asked whether Hungary was becoming a new Greece, EU Economic and Monetary Affairs Commissioner Olli Rehn said: "No."
Hungary's government vowed to cut spending on Monday to repair damage from comments last week, but a renewed pledge of tax cuts kept markets on edge.
Economy Minister Gyorgy Matolcsy said the new centre-right government, which took office on May 29, would stick to the deficit target of 3.8 percent and needed to cut spending worth 1.0-1.5 percent of gross domestic product (GDP) to do so.
The forint currency bounced off a one-year low and bond prices rose late on Monday, suggesting investors' nerves had been soothed to an extent by promises to cut the deficit though economists said details of the government's plans were lacking.
Greece in May became the first euro zone country to require a financial rescue after Athens said it could no longer afford to roll over its debt at rates the markets were demanding. (Reporting by Marcin Grajewski and Jan Strupczewski, editing by Dale Hudson)