Rosati foresees volatile zloty, but no weakening trend; less rosy on inflation

Monetary Policy Council (RPP) member, Dariusz Rosati said on Monday that the zloty will remain volatile in the coming weeks but no weakening trend is expected. Over the last 10 days the zloty has lost nearly 5% of its value to the dollar and 1.5% to the euro as Poland's economy continues to slow and global investment sentiment sours. Asked if the Polish currency would continue its downward drift, Rosati said that he doubts there would be any clear cut trends. He also reiterated the stance of the 10-member RPP on inflation, saying that pressures on price growth remain in the economy despite falls in inflation over the past months. He said that consumption could rise since budget policy was looser than planned, while Poles working in the government sector will receive compensation payment in a few months for past unpaid wages, and thousands of elderly Poles will receive compensation for World War II forced-labor. (Reuters) A.D.