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NBP Left Benchmark Rate Unchanged at 0.1% As Expected

POLAND
  • As expected, NBP kept its benchmark rate steady despite rising inflationary pressures as the uncertainty over the economic activity remains elevated.
  • Governor Glapinski will hold an online press conference on today at 2pm (London time).
  • Even though the majority of the board is still aiming to keep interest rates steady until Q1 2022, market participants have been pricing in two to three 15bps hike by the end of this year.
  • This week, we saw that ruling coalition regained its majority in the lower house of parliament after a lawmaker returned to its ranks, Law & Justice party leader Jaroslaw Kaczynski said (BBG). As a reminder, the ruling collation lost its parliament majority 2 weeks ago after three lawmakers left it amid criticism over the government's decision to phase out coal and plans to raise taxes on the self-employed.

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