When will interest rates be cut? Glapiński on possible MPC decisions

What next with interest rates in Poland? While assessing the current economic situation in Poland, the President of the National Bank of Poland, Adam Glapiński, indicated his predictions.

– Of course, I am familiar with all the speculations about whether there will be interest rate cuts this year or not. These are speculations because we do not know all the parameters – said president Adam Glapiński.

Interest rate cut? Probably not this year

President Adam Glapiński presented his private opinion. He believes that by the end of 2024 there will not be a majority in the Monetary Policy Council that will allow for a reduction in interest rates.

– Members of the Monetary Policy Council have different opinions on this subject and have different attitudes, but for now there is no talk of it (cutting interest rates – editor’s note). I would risk such a thesis and I hope that the MPC members will not be offended that I do not see any prospects for a majority in the council voting for a rate cut if all the data develops as we expect by the end of the year – rated by Adam Glapiński.

– As you know from previous meetings, there are motions to increase interest rates from among the members of the council elected by the Senate, but there have been no motions to reduce them yet – added.

Interest rates. Uncertainty persists

The President of the NBP emphasized that currently the most important term used not only by the central bank in Poland, but also by the Federal Reserve and the European Central Banks is “uncertainty”.

– The most important thing is that the uncertainty is so great that we make decisions from meeting to meeting. We have high interest rates that freeze the growth of inflation. Core inflation is falling slowly, but we do not want to disrupt this decline – said Adam Glapiński.