Polish central banker Wnorowski sees room for more rate hikes

WARSAW, Aug 16 (Reuters) - Poland is approaching the end of its monetary policy tightening cycle but there remains room for further increases to interest rates, central banker Henryk Wnorowski said on Tuesday.

While remaining at its most elevated since the late 1990s, inflation in Poland was only marginally higher in July than in the previous month, fuelling expectations that the rate increases will finish soon.

Asked during an interview on television station Biznes24 whether there was room for more rate hikes, Wnorowski said: "I think so.

"As the governor and other members (of the Monetary Policy Council) have already said, we are approaching the end of this series of increases."

Central Bank Governor Adam Glapinski said in an article published on Friday that Poland does not require further strong monetary policy tightening to ensure price stability in the medium term.

Inflation was 15.6% in July and Wnorowski said he expects it to decrease in the latter part of 2022 before rising again in January, when he said it could reach a peak.

"In the months after the summer holidays, particularly in September, I personally expect a significant decrease in the dynamics of inflation in our country," Wnorowski said.

Wnorowski said he maintained his view that the main rate could peak at between 6% and 7%, up from the current 6.5%.
Reporting by Alan Charlish and Pawel Florkiewicz Editing by Jason Neely and David Goodman

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