Unchanged views among council members of National Bank of Poland

There is a broad consensus among the MPC members of the NBP that interest rates should stay on hold at least until the end of this year. Societe Generale was expecting no significant changes to MPC members' views. According to Jerzy Hausner, Poland is still expected to exit deflation by the end of the year. 


Societe Generale notes Jerzy Hausner statement, "Our previous discussion was about not cutting interest rates too deeply so that we wouldn't have to go the other way too soon. The discussion is now about trying to convince market participants that the current level of rates is adequate for the situation and that there is no reason to consider a different monetary policy line, as the current line is the proper one. But that does not mean that interest rates will stay on hold indefinitely. An analysis of NBP projections alone suggests that we will be facing a process of real interest rate decreases. It's inevitable." 


Elzbieta Chojna-Duch also supports keeping rates unchanged until the end of the MPC's current term of office. The council may also again confirm its assessment that uncertainty surrounding Greece's sovereign debt crisis "could have been a driver of both the increase in risk aversion in the financial markets and the rise in price volatility of many financial assets."