Poland cuts interest rates by another 25 basis points

Poland’s central bank on Wednesday cut key interest rates by another 25 basis points, the sixth adjustment this year, as inflation declines.

The Warsaw headquarters of the National Bank of Poland (NBP).

Photo: PAP/Tomasz Gzell

The move by the bank's rate-setting Monetary Policy Council lowers the reference rate from 4.25 percent to 4 percent, public broadcaster Polish Radio’s IAR news agency reported.

Komunikat prasowy z posiedzenia Rady Polityki Pieniężnej w dniach 2-3 grudnia 2025 r. ⬇https://t.co/cAGhk0RaDj

— Narodowy Bank Polski (@nbppl) December 3, 2025

The panel previously cut rates by a combined 100 basis points in July, September, October and November, after a 50-basis-point reduction in May.

Central bank chief Adam Glapiński has cited weakening wage pressures and a slowing economy as reasons for easing policy.

Inflation in Poland stood at 2.4 percent in year-on-year terms in November, according to a flash estimate by the country’s statistics office.

In 2023, the council slashed rates by a total of 100 basis points, following a tightening cycle in 2021 and 2022 aimed at curbing surging consumer prices.

(gs)

Source: IAR, PAP