Czech cen­tral banker pledges to curb in­fla­tion

The Pak Banker - - FRONT PAGE -

PRAGUE: Czech pol­icy mak­ers will do what­ever it takes to achieve price sta­bil­ity and any fur­ther eas­ing in pol­icy would come through the ex­change rate, cen­tral bank Deputy Gover­nor Vladimir Tom­sik said.

A day af­ter the cen­tral bank held rates at near zero and said it would keep its limit on ko­runa gains in place, Tom­sik said board mem­bers saw no "im­mi­nent pres­sure" to loosen mon­e­tary pol­icy.

The Czech econ­omy should grow about 3 per­cent an­nu­ally in the com­ing years, he said. "We are ready to do ev­ery­thing to de­liver price sta­bil­ity," Tom­sik told an­a­lysts in a seminar via video link on Fri­day. "It makes sense to con­tinue in the mon­e­tary pol­icy we're us­ing right now." With eco­nomic growth gain­ing speed, in­vestors have pushed the ko­runa to flirt with the bank's limit of about 27 against the euro, which in turn prompted pol­icy mak­ers to in­ter­vene last month for the first time since they im­posed the cap in 2013. De­spite ap­pre­ci­a­tion pres­sure, the bank vowed on Thurs­day to main­tain the cur­rency regime at least un­til the sec­ond half of 2016.

Newspapers in English

Newspapers from Pakistan

© PressReader. All rights reserved.