Poland Delivers Rate-Cut Surprise With Inflation Set to Ease

Poland’s central bank unexpectedly cut interest rates after a one-month pause and said inflation is likely to ease within its target in the coming months, raising expectations that monetary easing is set to continue.

The Monetary Policy Council reduced its benchmark by 25 basis points to 5% on Wednesday, in line with expectations from six of 30 economists surveyed by Bloomberg. The majority predicted that rates will stay unchanged as indicated by Governor Adam Glapinski and some of his allies in the council.