Polish c. banker Kochalski says may be space for rate cut in March, ISBnews reports
Adds quotes and background
WARSAW, Nov 13 (Reuters) -There may be room to cut interest rates in Poland in March 2025, central banker Cezary Kochalski told ISBnews in comments published on Wednesday.
"If there is room in March, I will be in favour of discussion and consideration of changes in monetary policy parameters. In my opinion, there may be space to cut interest rates in March," he said.
Kochalski said the central bank's new economic projections were due in March, and usually policy decisions have been made around the time of their release.
He said he was in favour of cautious monetary policy easing.
"I think that these would rather be the smallest changes in monetary policy parameters - by 25 basis points. From today's data I read a greater probability of cautious changes."
Poland's main interest rate has been on hold at 5.75% since October 2023, with policymakers staying put given uncertainty over whether, and to what extent, the government will extend energy price caps for households.
"If the government were to introduce protective measures from next year, this would slightly improve the potential scenario of interest rate cuts," said Kochalski.
National Bank of Poland chief Adam Glapinski said last week that the Monetary Policy Council may discuss cutting rates when the central bank publishes economic forecasts in March.
Reporting by Pawel Florkiewicz; Editing by Christopher Cushing and Tomasz Janowski
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
