A notably brief, 15-minute press conference by NBP President Adam Glapiński delivered no major breakthroughs but leaned modestly hawkish in tone. While acknowledging ongoing disinflation, Glapiński emphasized rising wages in the corporate sector and signs of economic recovery—particularly evident in the latest retail sales figures.
He highlighted the recent decision by Poland’s Energy Regulatory Office (URE) to introduce new gas tariffs starting in July, suggesting that the move could lower the inflation path and bring price dynamics closer to 3% in the third quarter. However, he repeatedly raised concerns about the potential expiration of electricity price caps and, more importantly, Poland’s loose fiscal policy and the uncertain shape of the September budget—factors he called key inflationary risks.
The strong focus on these risks could slightly push back market expectations for a potential interest rate cut in July, when new inflation and growth projections are scheduled to be released. The Polish złoty responded cautiously to the press conference, with only minimal market movement, as the possibility of a July cut remains open and the Monetary Policy Council (RPP) continues to emphasize a data-dependent approach.
Author: Michał Jóźwiak – Analyst at Ebury
Source: CEO.com.pl – Original Article
