Prof. Tyrowicz on the interest rate cut: Why? I have no idea. No argument was made
The Monetary Policy Council lowered interest rates to 6%. Not all council members believe this decision is right. Prof. presented her doubts. Joanna Tyrowicz.
During a two-day decision-making meeting that ended on September 6, the Monetary Policy Council reduced interest rates by 75 basis points to 6%. For most analysts it was a big surprise.
Tyrowicz about Masłowska’s statements
In the Rozmowa Piaseckiego program on TVN24, one of the MPC members, prof., was asked to comment on the decision. Joanna Tyrowicz. At the beginning, she referred to the statement of another member, Gabriela Masłowska. This is about the interview on Radio Lublin on September 8.
– I cannot comment on it, but this statement goes beyond what we can do under the law. The voting results are secret for six weeks after the council, and who requested what and for what was requested is forever secret. This statement is surprising to me – said prof. Joanna Tyrowicz, member of the Monetary Policy Council.
– When I had training on access to classified information, one of its key elements was explaining how many years of imprisonment there is for breaking a state secret. I remembered that six – she added.
Tyrowicz: There is no justification for the reduction
The MPC member also admitted that there was no economic justification for reducing interest rates.
– All data available to us at the National Bank of Poland indicate that we are not reaching the inflation target by the end of 2025. They do not even indicate that we will reach the upper band of deviations from the inflation target. We don’t have better data, this is the sad truth – said Joanna Tyrowicz. – The latest decision of the Monetary Policy Council stops us from reaching the inflation target – she added.
Interest rates 75 points lower
Prof. Joanna Tyrowicz was also asked why the reference rate was reduced by as much as 75 basis points, despite what analysts had predicted.
– Why 75 basis points? I have no idea. There was no argument that could be interpreted as why such a decision was made. Analytical materials indicated that there were no grounds for a reduction – said the MPC member.
– We have one simple task – to bring inflation to the target – but we are not fulfilling this mandate. We haven’t done this before, and since Wednesday we won’t do it even more – she concluded.
