(Updated at 0858 GMT)

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South Africa Treasury budget vote on tap

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Czech central banker Prochazka says another 50-bps rate

cut

unlikely

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India June inflation due at 1200 GMT

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IMF says assessing recent Kenya developments

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Stocks, FX flat

By Johann M Cherian

July 12 (Reuters) - Stocks and currencies across

emerging markets were broadly flat on Friday, but an index

tracking equities were set to log gains for the sixth week out

of five, while focus was also on economic data out of China and

India and a budget vote in South Africa.

MSCI's index tracking stocks in emerging markets

slipped 0.1%, but was hovering near levels seen more than

two-years ago. The index was up 1.6% for the week, compared with

the U.S. benchmark S&P 500's 0.3% rise week-to-date.

Bourses in China, Hong Kong, Taiwan

, South Africa, Turkey and India

were all set to end the week higher.

"Emerging markets are outperforming developed markets,

driven not only by these extreme under valuations, but more

importantly by the pockets of earnings strength," said Wim-Hein

Pals, head of emerging markets equity at Robeco.

Pals picked information technology, consumer discretionary

and financials as sectors that were set to do well.

China's yuan dipped 0.1% after mixed June trade

data, while caution remained ahead of Monday's Third Plenum and

a central bank decision on the medium-term interest rate, with

most economists anticipating no change.

In south Asia, India's main indexes climbed

1% each. Ahead of the release of June inflation data due later

in the day, the domestic central bank chief said retail

price-growth is still expected to be far from its 4% target to

start lowering interest rates.

Separately, a report said India plans to make state-run

firms more profitable, in a departure from Prime Minister

Narendra Modi's earlier privatisation programme.

In South Africa, the rand inched up 0.3%. The finance

minister will table the National Treasury's budget vote in

parliament at 1200 GMT.

In eastern and central Europe, Hungary's forint

climbed 0.3% against the euro. The local finance minister said,

the country's budget deficit is expected to be in-line with or

below the 4.5% target this year, as per a report.

Earlier the forint weakened after the government hinted at

new corporate taxes that it expects could balance the budget

deficit that has remained over European Union limits.

Czech's koruna was flat, and was set for its

fifth-straight week in declines. A report showed policymaker Jan

Prochazka said another 50-basis-point interest rate cut in

August is very unlikely, despite recent data showing inflation

within the regulator's limit.

Elsewhere, Kenya's shilling slipped 0.4% against

the euro. The International Monetary Fund said it is assessing

recent developments in the east-African nation, while in Egypt

the Fund has delayed an $820 million disbursement. The pound

was flat.