WARSAW (Reuters) - Poland’s central bank is likely to keep interest rates at record lows next week, with no change seen until a hike in the last quarter of 2019, a Reuters poll found on Friday, reflecting dovish central bank comments and subdued inflation.
All 14 analysts polled on May 10 and 11 said they expected the bank’s rate-setting Monetary Policy Council (MPC) to keep the benchmark rate at 1.50 percent next Wednesday.
The median forecast was for no change until the fourth quarter of 2019 - unchanged from last month - when the bank is seen raising the rate by 25 basis points.
The central bank governor said after the last rate meeting in April that he saw no reasons to change interest rates in the next two years.
Annual consumer price inflation stood at 1.6 percent in April, remaining below the bank’s 2.5 percent target despite record low unemployment and relatively fast wage growth.
Poland had experienced more than two years of deflation until late 2016. The central bank has kept rates unchanged since a half-percentage-point cut in March 2015.
Reporting by Marcin Goettig; Editing by Hugh Lawson
Our Standards: The Thomson Reuters Trust Principles.