Czech National Bank increases interest rates

Published: 11.11.2018 Related countries:  U.S.A. U.S.A.

Czech National Bank: At meeting on 1. 11. 2018, the Czech National Bank Bank Board increased the two-week repo rate (2W repo rate) by 25 basis points to 1.75%. At the same time, it increased the Lombard rate to 2.75% and the discount rate to 0.75%. The new interest rate levels come into effect on 2 November 2018.

Decision is based on the new macroeconomic prognosis of CNB. According to prognosis, the inflationary pressures remain high in Czech Republic, given by growth of real economy and wages dynamics. CNB increases interest rates the fourth time in a row and fifth time this year.

Published by the team of CzechTrade foreign office in Chicago.

Source: http://www.cnb.cz/en/public/media_service/press_releases_cnb/2018/20181101_monetary_policy_decision.html