Last meeting of present RPP likely to leave key decisions to new Council

None of the 18 banks polled by Reuters is expecting an interest rate cut. "I don't think that this RPP will take any action, unless something extreme occurs on the market," said Jacek Wiśniewski, an economist with Pekao, who added that RPP members have already given many signs that further decisions concerning changes to interest rates will be made by their successors. According to TMS chief economist Marek Zuber, the arguments which keep the Council from cutting rates are still valid. That is an economic recovery, uncertainty of Hausner's plan concerning cutting public expenditure, and a planned increase in the 2004 budget deficit. Another reason for maintaining the current level interest rates is growing inflation, although RPP members emphasize that there is nothing to get alarmed about. (Parkiet, p. 7) A.K.