Polish Central Bank Publishes Statement After Monetary Policy Meeting

The National Bank of Poland has released the statement after leaving interest rates unchanged at its monetary policy meeting held on April 4-5.

• The MPC point to a slowdown in Poland's economic activity indicated by the declines in retail sales and industrial output, albeit they also note that the labour market situation remains good and unemployment is low.
• They see a gradual easing of external supply shocks going forward, which together with weakening economic activity should supply a decline in domestic CPI inflation in the coming quarters.
• "Given the strength and persistence of the earlier shocks, which remain beyond the impact of domestic monetary policy, the return of inflation to the NBP inflation target will be gradual."
• "The decrease in inflation would be faster if supported by an appreciation of the zloty exchange rate, which, in the Council’s assessment, would be consistent with the fundamentals of the Polish economy."
• "Further decisions of the Council will depend on incoming information regarding prospects for inflation and economic activity."
• Click here to see the full document.