Czech Central Banker Kubicek Sees Rate Cuts Ending on Inflation

The Czech central bank may have to refrain from lowering interest rates any further because sticky inflation requires restrictive monetary conditions, according to board member Jan Kubicek.

Policymakers in Prague last cut borrowing costs in May, bringing the benchmark rate to 3.5%, the lowest level since 2021. The board wasn’t in agreement then whether the reduction was the end of the easing cycle that started a year and a half ago.