Will the RPP continue to cut rates? Shutterstock

Monetary Policy Council (RPP) member Anna Zielińska-Głębocka told Bloomberg that the council is likely to continue cutting interest rates.

“Given the weak economic data and the lack of any inflationary impulses, the 100 basis-point reduction we’ve done so far isn’t enough,” she said. The rate-setter added that the RPP has assumes a gradual approach and it will continue with it for some time, before shifting to a wait-and-see mode when the Polish economy starts to recover. The RPP decided to cut the benchmark interest rate by 25 basis points to 3.75 percent last Wednesday.

NBP president Marek Belka last week said that the bank is maintaining its informal easing bias, meaning another cut or a decision to keep rates unchanged are “equally probable.”

Poland A.M.