Poland’s central bank should wait until June at the earliest before potentially resuming interest- rate cuts because it needs to “better assess” the prospects for economic recovery, according to policy maker Adam Glapinski.
Yields on the Polish government’s two-year notes fell for a second day, approaching last week’s all-time low, as the slowest inflation since 2006 fueled speculation the central bank may keep cutting interest rates.
Poland’s central bank is “very likely” to raise borrowing costs next month as the economy is weathering Europe’s debt crisis while a weaker zloty stokes inflation, monetary-policy maker Adam Glapinski said.
Poland’s central bank would make “a serious mistake” if it raises interest rates in May because the move would needlessly stifle growth with inflation set to slow later this year, rate setter Adam Glapinski said.
Poland’s central bank cut its main interest rate by more than economists estimated to a record low as the worst economic slowdown in 12 years looms after consumer spending plunged amid Europe’s debt crisis.
Poland’s central bank will cut its benchmark interest rate in December for a second month as growth in the European Union’s biggest eastern economy slows to its weakest since 2009, policy maker Adam Glapinski said.