European Economic News

Polish Central Bank Holds Main Rate At Record Low

Poland's central bank on Wednesday retained its policy interest rate after reducing it at each of the previous five meetings, signaling and end to the current easing cycle. The Decision was in line with economists' forecast.

The National Bank of Poland retained its policy interest rate at 3.25 percent, after cutting it by half-a-percent in the preceding session and by 25 basis points each at the four meetings prior to that.

The bank also maintained the rediscount rate at 3.5 percent, and the deposit rate at 1.75 percent. The lombard rate was kept unchanged at 4.75 percent.

Poland's economic growth weakened notably to 1.1 percent in the fourth quarter from 1.4 percent in the preceding quarter. Sequential growth eased modestly to 0.2 percent from 0.3 percent. In the whole of 2012, growth slowed sharply to 2 percent 4.3 percent a year earlier.

Headline consumer price inflation eased more-than-expected to 1.3 percent in February from 1.7 percent in January, and slid below the lower end of the central bank's 1.5-3.5 percent target.

by RTTNews Staff Writer

For comments and feedback: editorial@rttnews.com

More European Economic News