Reduction of interest rates after a picnic? A disturbing voice from the MPC

Last week, the Monetary Policy Council (RPP) for the 17th time in a row decided to leave interest rates at the same level. The day after the decision of the body, the president of the National Bank of Poland (NBP) Adam Glapiński admitted that although the council has not changed the amount of interest rates once again, “the MPC’s attitude in this matter changed, the head of the central bank did not rule out that the cuts would take place during the May meeting.

Ludwik Kotecki, a member of the Republic of Poland, left no doubt on this matter yesterday. – It seems that in May, the Monetary Policy Council will not discuss or reduce interest rates, it will only talk about two things, about the scale of this May reduction and whether it will be a one -time adjustment, whether it will be the beginning of a cycle of reductions – said Kotecki on Wednesday in an interview with Polish Radio.

A member of the MPC added that if the council decides that the reduction will be one -time, it will probably be larger. However, “if it is the beginning of a cycle of reductions, it can be smaller steps.”

The MPC will reduce Proc rates? “Third error overlaps”

The discussion around interest rate discounts can be stormy. It is known that the member of the MPs Joanna Tyrowicz is skeptical about this issue. – Another sudden phrase of the president and behind him also most of the MPC is a return to mistakes from previous years. The first mistake was that the “Sopot Treaty” turned out to be serious: to make the life easier for the Minister of Finance, the rate increases were interrupted too early. The second was the unfounded and shocking reduction in the foot in September and October 2023 with a total of 1 percentage point. Now the third error is coming – Tyrowicz said in an interview with Money.pl.

The MPC meeting on interest rates is scheduled for May 6-7 this year.