Czech cbanker: would prefer looser conditions

PRAGUE | Thu Nov 19, 2009 8:32am EST

PRAGUE Nov 19 (Reuters) - Crown currency firming is one of the risks to the Czech central bank's inflation target, and looser monetary conditions would be welcome, Vice-Governor Miroslav Singer said on Thursday.

"Strengthening of the exchange rate is one of the risks for the inflation target, therefore I would welcome looser monetary conditions than those in place at the moment," he said in an online discussion on www.patria.cz when asked about the exchange rate and euro adoption.

"At this concrete moment lowering interest rates would not be a mistake," he said in a separate comment.

Singer and two other board members were outvoted earlier this month when the bank decided not to cut interest rates from a record low of 1.25 percent.

(Reporting by Jan Lopatka, writing by Jason Hovet)

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