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November 1, 2018 3:42 pm | FILED UNDER: business

CNB Votes To Hike Interest Rates

By Matt Atlas Czech National Bank

The Czech central bank’s governing board voted 5-2 in favour of a 25 basis point interest rate hike on Thursday, the bank said.

 

One of the dissenters voted for a 50 basis point hike, and one voted for no change in policy settings, the bank said in a presentation.

It said the board saw risks to the bank’s new economic forecasts to be slightly pro-inflationary, mainly from a prolonged duration of global factors that weaken the Czech crown’s exchange rate.

The bank said after the previous board meeting in September that the board assessed risks to the previous quarterly forecast as balanced.

 

The new forecast assumes an average 2019 three-month interbank market rate, seen as proxy for the policy rate, 0.3 percentage points higher than previously at 2.0 percent.

This article originally appeared in Reuters
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