Are we facing an interest rate hike?
17:54
"This may be the moment for the Monetary Policy Council to intervene in the context of high inflation", said Jarosław Gowin, Deputy Prime Minister and Minister of Development in the “Sedno Sprawy” program on Radio Plus. He also added that in the matter of further “patches” to the Polish Order “works are in progress in the Ministry of Finance”.
The deputy prime minister was asked what would happen if the relief for the middle class could not be pushed through in the Polish Order. “Why would it fail?”, Gowin replied. He also added that “we need to think about how to complement the Polish Agreement with solutions that will eliminate the burden on the middle class.
Jaroslaw Gowin also stressed that the government must find a way to compensate local governments. “Raising the free amount of money will strongly affect their finances,” he said. The deputy prime minister was also asked whether inflation has already started to worry the government representatives. “Maybe it is not a concern yet, but both I and all responsible institutions observe inflation,” he said.
This is the first such unambiguous declaration by a politician from the ruling camp in the context of accelerating inflation. What does the MPC say? The Council’s decision should be announced soon. However, experts do not expect the decision to raise interest rates to be made so soon. However, there are some MPC members who believe it is necessary.
