Published by Global Banking & Finance Review®
Posted on March 5, 2025
1 min readLast updated: January 25, 2026
Add as preferred source on GoogleIMF predicts Poland may begin rate cuts in late 2025, citing current restrictive rates and inflation risks. Caution is advised in easing monetary policy.
WARSAW (Reuters) - Monetary policy easing in Poland may begin in the second half of 2025, International Monetary Found (IMF) representative in Poland Geoff Gottlieb said on Wednesday during the European Financial Congress event in Warsaw.
He added that the current level of Polish interest rates was restrictive, "well above neutral rate".
"Our view is that cuts possibly can begin in the second-half of this year but should move fairly slowly given all the risks to this inflation," Gottlieb said.
"The final step on inflation is not yet done, so it’s important not to rush the return to a neutral monetary stance."
The National Bank of Poland (NBP) has kept interest rates unchanged since October 2023, with the reference rate at 5.75% and central bank governor Adam Glapinski said in February there were no grounds for lowering borrowing costs at the moment.
Inflation was 5.3% in January, while the central bank's inflation target is 2.5% plus or minus one percentage point.
(Reporting by Karol Badohal; writing by Pawel Florkiewicz; Editing by Toby Chopra)
The IMF representative indicated that monetary policy easing in Poland may start in the second half of 2025.
The reference interest rate in Poland has been unchanged at 5.75% since October 2023.
The central bank's inflation target is 2.5%, with a permissible range of plus or minus one percentage point.
Geoff Gottlieb stated that any cuts should move fairly slowly due to ongoing risks related to inflation.
Inflation in Poland was reported at 5.3% in January.
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