Pressure mounts for interest rate cut after improved trade performance

The Monetary Policy Council (RPP) is coming under even greater pressure to cut interest rates, following the announcement of a much lower than expected current account deficit in April. The monthly deficit was $614 million, well below the experts' prediction of $870 million, spurring the already strong zloty on to further growth. Analysts say the improved figures show that the strong Polish currency has as yet not harmed the country's exports. The conclusion they draw is that either the Polish economy is stronger than is generally thought, or the worst is yet to come. Exports in April were worth $2,608 million, representing year-on-year growth of 30%. (Rzeczpospolita, p. B1) J.K.