Poland keeps interest rates intact

The Polish central bank's rate-setting Monetary Policy Council left interest rates unchanged on Wednesday, keeping the reference rate at 5.75 percent.

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

Photo: Andrzej Barabasz, CC BY-SA 4.0 , via Wikimedia Commons

Last year, the panel slashed key interest rates by a combined 100 basis points, amid signs of subsiding inflation.

In 2021 and 2022, the Monetary Policy Council had delivered a string of rate hikes in an effort to contain surging consumer prices.

Decyzja RPP w sprawie stóp procentowych. Ważne informacje dla kredytobiorców https://t.co/vzI9YRTmrg

— Gospodarka - Polskie Radio (@Gospodarka_PRSA) June 5, 2024

Inflation in Poland stood at 2.5 percent in May, up from 2.4 percent in April, according to a flash estimate by the country’s statistics office.

RPP podjęła decyzję w sprawie stóp procentowych#PAPInformacjehttps://t.co/RM3siHrj5s

— PAP (@PAPinformacje) June 5, 2024

Poland’s central bank chief, Adam Glapiński, said in November that the country's interest rates were unlikely to rise anytime soon.

He told reporters at the time that if Polish interest rates were to change, they would be more likely to go down than up, public broadcaster Polish Radio’s IAR news agency reported.

The Polish central bank said in its latest Inflation Report, released on March 11, that inflation would average at 3 percent this year, followed by 3.4 percent in 2025 and 2.9 percent in 2026.

(gs)

Source: IAR, PAP