Polish interest rates kept unchanged
PR dla Zagranicy
The Polish central bank’s Monetary Policy Council (RPP) has left the benchmark interest rate unchanged at a record-low 1.5 percent, arguing the decision would help keep the economy on “a sustainable growth path".
Photo: Radio Poland/Roberto Galea
“In the opinion of the Council, consumer price growth will slowly increase in the nearest quarters, yet due to renewed decline in commodity prices, consumer price growth may be lower than anticipated," the National Bank of Poland (NBP) wrote in a statement on Thursday.
"So far, the continuing deflation has not had a negative impact on the decisions of economic agents. A gradual increase in price growth will be supported by closing of the output gap amidst improving economic conditions in the euro area and a tight domestic labour market,” it added.
“The Council decided to keep the NBP interest rates unchanged, assessing that – given the available data and forecasts – the current level of interest rates helps to keep the Polish economy on a sustainable growth path and ensure macroeconomic balance.”
Following its March 2015 decision to cut rates by 50 basis points, the Monetary Policy Council said that the decision was “closing the cycle of monetary policy easing.” (rg/pk)