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Freezing Wibor Would Be Wrong (KNF Regulator)

POLAND
  • NATO’s Secretary General, U.K. Prime Minister as well as French and German Foreign Ministers are visiting Poland to discuss response to Russian invasion in Ukraine and humanitarian aid as 377,400 people already fled from Ukraine to Poland since start of war (BBG).
  • Head of Polish Financial Regulator KNF Jacek Jastrzebski mentioned in a newspaper that freezing the Wibor rate would be wrong; the sharp tightening run by the NBP has levitated the 3M Wibor to a 9Y high of 3.65%.
  • Freezing Wibor rates would limit the transmission of monetary policy on real economy as bulk of loans in Poland are floating rate ones according to Bloomberg.
  • This morning, economic data showed that manufacturing PMI rose to 54.7 in February (vs. 54.8 exp.), up from 54.5 the previous month.

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