National Bank of Poland likely to stand pat in February

The National Bank of Poland is set to meet tomorrow for its interest rate decision. According to an Erste Group Research report, the MPC is expected to keep the interest rates on hold.

The central bank is expected to reiterate that the recent rise in headline inflation to 4 percent in January is being driven by non-core items that are out of the scope of monetary policy. Also, inflation is likely to reverse its upward trend in the second half of 2020.

“Moreover, the economic slowdown in 2020 might be more severe than previously anticipated. This supports a stability of rates scenario”, added Ertse Group Research.