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NBP To Keep Rates Unchanged, Gov't Backpedals On Some Legislative Proposals

POLAND
  • The NBP is expected to keep interest rates unchanged today for the tenth consecutive time, but the focus is on any clues on whether the easing cycle could start this year. There is no fixed time for the release of the rate decision or the statement, but the central bank typically gives notice beforehand. Governor Adam Glapinski will hold his press conference tomorrow at 14:00BST/15:00CEST. For more details, click here to see our preview including a summary of sell-side views.
  • The government froze several big legislative initiatives this week, including changes in tax law, new regulations of gambling industry, and rules facilitating the process of employing migrant workers. Business Insider reports that the decision to halt legislation came on the back of the assessment that these proposals could stoke controversy and be used against the ruling party in the election campaign.
  • A new opinion poll for Super Express showed that 60% of supporters of the ruling Law and Justice (PiS) would like to see the party enter a coalition with the far-right Confederation. However, only 31% of Confederation supporters would back a coalition pact with Law and Justice. Polling suggests that Confederation may become the third power in Polish parliament after the upcoming election and may potentially decide who forms the next government.

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