Surprise Interest Rate Cut at the National Bank of Poland – Currency Thoughts
Surprise Interest Rate Cut at the National Bank of Poland
July 2, 2025
When Poland’s interest rate was cut two months ago by a half percentage point, that was the first change since a pair of cuts in September and October of 2023. The length of that pause, the lack of a rate change in June, and the fact that CPI inflation had ticked up marginally in June and exceeded the National Bank’s 3.5% target ceiling for twelve straight months had persuaded analysts not to expect a rate change at this week’s meeting. Instead, a 25-basis point cut to 5.0% (lowest since early May 2022) was made and justified by reductions in projected future inflation in the latest 2025 and 2026 forecasts.
Copyright 2025, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: National Bank of Poland
ShareThisYou can leave a response, or trackback from your own site.
Leave a Reply
You must be logged in to post a comment.
