WARSAW: Poland’s Monetary Policy Council will refrain from offering a horizon for stable interest rates in part as the next move is not likely during the term of the current council, the council’s chair Marek Belka said after the country’s central bank kept its interest rates unchanged at a record low on Wednesday as economic growth is accelerating.
Eight of nine regular members of the council end their terms in early 2016. “The council is ending its term,” Belka said. “Even if we wanted to say something, such a horizon wouldn’t be shorter than to end-2015,” he said. Poland’s Monetary Policy Council kept to its word, holding all rates flat for the second straight month after having cut them to a record low and having vowed a policy deep-freeze after the March sitting.
The decision, announced in a statement from the central bank, kept the key reference rate at 1.50%, the deposit rate at 0.50% and the Lombard rate at 2.50%, all record lows set in a 50 bps cut at the March sitting. The European Commission on Tuesday raised Poland’s growth outlook to 3.3% in 2015.
