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NBP Likely To Hike By 75bps

POLAND
  • NBP likely to surprise again today with 75bps hike despite rising uncertainty.
  • Inflation continued to surprise positively in November, up 7.7% YoY.
  • Consensus is pricing in a 50bps hike, which may disappoint the market and therefore lead to some PLN depreciation.
  • Yesterday, Polish Health Minister Niedzielski said in a video conference that Poland plans to further tighten Covid rules, introducing remote schooling from December 20 to January 9.
  • Niedzielski also announced that Poland makes vaccines mandatory for 3 groups from March 1: Army, Teachers and Health Service Employees.
  • EU Dombrovskis commented yesterday that it is unlikely that the EU will finalise work on Poland recovery plan this year.

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