National Bank of Poland hikes rates amid falling PLN and higher inflation prospects
The National Bank of Poland (NBP) hiked its policy rate by 75bps at yesterday’s meeting, bringing it to 3.5%. Although a continuation of monetary tightening was expected, the hike exceeded both our and consensus expectations of a 50bps move.
What you will learn:
- NBP finds itself in an increasingly challenging environment.
- The Russian invasion of Ukraine will in essence constitute a stagflationary shock, further boosting inflation from already record levels primarily through its impact on energy commodity prices, at the same time weighing on the pace of GDP growth.
- Notably, the war in the East has boosted the risk premium for Polish assets, as investors limited their exposure on CEE.
European Macro Service
A complete service to help executives track, analyse and react to macro events and future trends for the European region.Find Out More
European Cities and Regions Service
Regularly updated data and forecasts for 2,000 locations across Europe.Find Out More
Quantifying the impact of policy changes and other risk events on industrial sectors.Find Out More
Global Economic Model
Our Global Economic Model provides a rigorous and consistent structure for forecasting and testing scenarios.Find Out More