Polish central bank says rates must rise

Published: 18 June 2004 y., Friday
The Polish central bank believes interest rate rises are inevitable due to surging economic growth, a top central banker said Tuesday. Halina Wasilewska-Trenkner, a member of the central bank's board, said economic growth of almost 7 percent year-on-year meant the central bank would have to raise rates to contain inflationary pressures that could result from economic overheating. Last week, official figures showed the Polish economy growing 6.9 percent at a year-on-year rate in the first quarter, way above expectations. Figures released Monday showed inflation at its highest level for two years. Year-on-year inflation in May came in at 3.4 percent. Many economists now expect Polish interest rates to rise by as much as 50 basis points at the central bank's monetary policy meeting later this month. Key interest rates currently stand at 5.25 percent.
Šaltinis: UPI
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Standard & Poor’s: Lithuanian Government Is Taking Sufficient Measures

Standard & Poor's (S&P) affirmed Lithuania's long-term investment grade sovereign foreign currency BBB credit rating and removed it from a CreditWatch negative position, citing government commitments to address deteriorating public finances. more »

Azerbaijan: MCCF signs first project

The EBRD-EIB Multilateral Carbon Credit Fund (MCCF) and Azerenerji Joint Stock Company are collaborating in order to promote energy-efficient power generation in Azerbaijan. more »

Obama: Nafta should expand trade

U.S. President Barack Obama, meeting with the leaders of Mexico and Canada, called on all three nations hit by the global recession to avoid resorting to protectionism. more »

EBRD loan to cut pollution in eastern Siberia

A 10-year $75 million EBRD loan will finance the construction of a combined heat and power plant in the east Siberian city of Krasnoyarsk which is expected to improve energy efficiency and cut pollution by 14 percent thanks to the use of more environmentally-friendly technologies. more »

Review of national aid schemes introduced during the financial crisis

The Directorate-General for Competition has issued a review of the aid schemes introduced by Member States and approved by the Commission during the financial crisis. more »

Tonga ferry sinks: dozens missing

Rescue planes from New Zealand have been taking part in a massive search for passengers after a ferry sank off the coast of Tonga. At least 27 people are missing. more »

Finding comfort in catering

Courtney Adams has always loved cooking. As a kid she baked brownies for her friends and in college her apartment was the place to go to for a home-cooked meal. But she never thought she'd cook for a living. more »

Commission authorises German temporary reduced‑interest loans scheme for green products

The European Commission has authorised, under EC Treaty state aid rules, a scheme offering reduced-interest loans to businesses investing in the production of environmentally friendly products, as part of the German package to tackle the current economic crisis. more »

Former AB LEO LT financial director to start working at Danske Bankas

Ramūnas Bičiulaitis, former board member and financial director of AB LEO LT, starts working as head of the Finance Department of Danske Bankas. more »

EBRD sets fast pace with syndications despite challenging market conditions

The EBRD has kept up a rapid pace in the syndicated loans market, defying difficult market conditions and pulling together nine deals so far this year, worth a total €1.2 billion. more »