Czech c.bank holds interest rates after Nov hike

19.12.2007 | , Reuters
Zpravodajství ČTK


perex-img Zdroj: Finance.cz

The Czech central bank (CNB) held interest rates steady on Wednesday, pausing in policy tightening as a near record strong crown helped offset a...

...worsening inflation outlook.

The CNB said in a statement that the board kept the main two-week repo rate at 3.50 percent , having doubled benchmark borrowing costs over the past two years. Still, the Czechs have the European Union's lowest interest rates.

A majority of analysts had expected no change because of the firm crown and the prospect of a slowing in consumption growth promised to dampen resurgent inflation next year.

A news conference was called for 3 p.m. (1400 GMT) to elaborate on the decision. (Reporting by Marek Petrus; editing by Alan Crosby)

Keywords: CZECH RATES/

[PRAGUE/Reuters/Finance.cz]

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