Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Zloty Falls to Three-Week Low as Belka Rules Out Rate Increases

The zloty slid to the weakest level in more than three weeks after Polish central bank Governor Marek Belka said the exchange rate is “about where it should be” and ruled out further interest-rate increases.

The zloty lost 0.7 percent to 4.1109 per euro as of 6:22 p.m. in Warsaw, the lowest since Aug. 2, paring the month’s rally that sent the currency to a 12-month high on Aug. 6. Ten-year bond yields were unchanged at 4.87 percent, data compiled by Bloomberg show.

Poland’s central bank, the only one in the European Union to raise interest rates this year, has changed its “policy bias” and prospects for cutting borrowing costs have increased, Belka told Radio PiN in an interview today. The zloty is nearing a level justified by Poland’s economic fundamentals, he said.

“In the context of the coming interest rate cuts, the exchange rate may not move in the zloty’s favor,” Bank Pekao SA economists including Marcin Mrowiec wrote in a note today.

Investors in Polish interest rate derivatives are betting that the central bank will start cutting borrowing costs before the end of this year. Three-month forward rate agreements are trading 38 basis points below the three-month Warsaw Interbank Offered Rate, according to data compiled by Bloomberg.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.