RPP members divided in franc appreciation aftermath

The members of the Monetary Policy Council (RPP) have different views on whether and how much the interest rate should be cut. Its President and the head of the National Bank of Poland Marek Belka sees “room for further interest rate cuts,” Reuters reported. Although, Belka suggests to wait till the markets calm down after the recent franc-related upheaval. Another member, Andrzej Bratkowski, wants RPP to cut the interest rate by 25 bp at the next sitting in February, “unless something odd happens,” he pointed out in the interview for TVN24. Elżbieta Chojna-Duch seemed to be more conservative. In her opinion, the recent SNB's decision “is an argument for not lowering the rates,” the Polish Press Agency informed. However, the RPP should also take into account the long-term effects that prolonged deflation may have on the market, she explained.