Economics
Poland Holds Rates Near Zero as QE Favored to Fuel Recovery
- Benchmark interest rate left at 0.1%, as analysts predicted
- Economy is set for worst year since 1990s as Covid cases spike
This article is for subscribers only.
Poland kept borrowing costs unchanged as quantitative easing, rather than negative interest rates, remains the preferred tool to buoy Poland’s economy.
The benchmark interest rate was left at a record-low 0.1% Wednesday, in line with all analysts’ expectations. The decision also reflects a dominant view among the central bank’s 10-member Monetary Policy Council showing little appetite to pull already record-low borrowing costs below zero. The zloty remained weaker against the euro.