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2018-12-21  10:17

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Czech Central bank leaves rate hikes until February

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At its regularly schedule meeting yesterday, the Czech National Bank passed up the chance to raise interest rates. That's only the second time it's left them alone in the past 18 months and means that the basic interest rates in the country will end the year at 1.75 percent. There's every expectation, however, that rates hikes will continue in February at the next meeting of the CNB's bank council. At its previous meeting in November, the bank raised the rate by 25 bps in its fourth consecutive increase. The CNB is trying to cool off the Czech economy, which is exhibiting numerous signs of overheating, including runaway property prices and dangerous levels of wage inflation.

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