Poland’s central bank is overcoming a divide over the need to tighten monetary policy this year, opting on Wednesday to keep interest rates unchanged without offering much guidance beyond 2018.
While repeating that a period of record-low borrowing costs could last through the rest of the year, Governor Adam Glapinski backed away from his view that Poland’s longest-ever rate pause should remain in place even in 2019. At the same time, a minority in favor of higher rates on the 10-person Monetary Policy Council saw a defection by one of its most vocal members, as Lukasz Hardt came around to offer Glapinski his backing.