Poland's MPC to test support for rate cuts in May meeting, says MPC member
The Monetary Policy Council (RPP) will assess in May whether there is a majority in favour of interest rate cuts, Poland's Monetary Policy Council member Przemyslaw Litwiniuk told TVN24. He noted that potential reductions could range between 25 and 50 basis points.
"I think in May the Council will test whether there is a majority for a change in the parameters of monetary policy, this is a reduction in the level of interest rates and the scale of that reduction. There are basically two options at stake: 25 basis points and 50 basis points," Litwiniuk said.
He added that the decision will depend on incoming data, particularly labour market figures expected at the end of April.
He suggested that if no unexpected events occur, a decision in May or June is likely, emphasizing a conservative approach with an initial step of 25 or 50 basis points.
Litwiniuk also pointed out that July's projections assume unchanged rates, making it beneficial to adjust rates before then to incorporate the effects into forecasts.
pel/ nl/
