this is the end of interest rate increases in Poland

On Thursday, September 7, the MPC raised the reference rate by 25 basis points to 6.75 percent. It was the 11th rate hike in a row.

On Friday at the press conference NBP president Adam Glapiński saidthat at the next MPC decision-making meeting in October, either no change in interest rates or an increase by 25 basis points is possible.

According to one of the MPC members, there will be no rate hike in October. “Data analysis shows that September’s hike by 25 bps was the last. In my opinion, the cycle of interest rate increases in Poland is over“- wrote Dąbrowski.

Ireneusz Dąbrowski is considered to be one of the closest associates of President Adam Glapiński. He is a professor at the Warsaw School of Economics, as well as a long-term employee of the National Bank of Poland. He was, inter alia, director of the Economic Research Department of the National Bank of Poland.

Dąbrowski was appointed to the MPC in February 2022. The Monetary Policy Council consists of nine members and the President of the NBP as its chairman.

The MPC raises interest rates to curb inflation. However, the rise in prices, instead of slowing down, gained momentum in August. Inflation accelerated to 16.1 percent. from 15.6 percent in July. According to the NBP president inflation will remain high in the coming months, although it should decline somewhat.

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