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Rate-Hike Cycle Not Formally Ended

NBP

NBP Governor Adam Glapinski notes that the central bank has not formally ended its rate-hike cycle and sticks with its wait-and-see approach, monitoring incoming data and deciding on monetary policy on a meeting-by-meeting basis.

  • Glapinski says that if the central bank's macroeconomic projection materialises, there will be no need for further interest-rate hikes, but the MPC stands ready to take action if unanticipated risks arise.
  • The Governor nots that his "optimistic" personal projection of inflation reaching +6%-7% Y/Y at the year-end must be revised by around 1pp higher due to the re-weighting of the CPI basket.

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