Most analysts predict RPP not likely to cut interest rates until next month

The Monetary Policy Council (RPP) begins a two-day meeting today, during which it will discuss the possibility of further lowering of key interest rates. Many market analysts contend, however, that given the RPP's intent in determining the local economy's latest direction by obtaining key economic data for March, it is unlikely that it will move to cut interest rates at this time. Despite the ballooning public deficit, slower GDP growth, continual drops in inflation and apparently less inflationary pressures, RPP members still claim that inflation's current declining tendency could be weaker in the second half of the year. Analysts at ING Barings also point out that the RPP isn't keen on ruining its conservative image, making another interest rate cut on the heels of a 100-basis point cut it recently undertook unlikely. (Rzeczpospolita, p. B3; Prawo i Gospodarka, p.1,7) A.D.