HIGHLIGHTS-Czech central bank monthly news conference

30.11.2006 | , Reuters
Zpravodajství ČTK


perex-img Zdroj: Finance.cz

PRAGUE, Nov 30 (Reuters) - The following are selected comments by Czech central bank (CNB) Governor Zdenek Tuma at the bank's monthly news conference on Thursday following a decision to hold interest rates steady for the second month running.

For a news report on the decision, click on [ID:nL3091748].

ON RATE DECISION:

"The overall assessment of risks to the (inflation) forecast is rather anti-inflationary. Our forecast assumes a certain rise in interest rates, so the anti-inflationary tone of the assessment (of risks to the forecast) led us to leave interest rates unchanged. We did not give much serious thought to increasing interest rates."

ON EXPECTED WIDENING OF RATE GAP VS HIGHER EURO ZONE RATES TO RECORD 100 BASIS POINTS AFTER FORECAST ECB RATE HIKE IN DEC:

"Our monetary policy is not based on what is the level of the negative interest rate differential. It is one of the significant parameters (of the decision-making process) but so are real interest rates which have also been negative.

"This (the expected rate gap widening) is not something that we would be paying extra attention to today."

((Reporting by Marek Petrus and Petra Vodstrcilova; Reuters Messaging: rm://marek.petrus.reuters.com@reuters.net; e-mail: prague.newsroom@reuters.com or marek.petrus@reuters.com; Tel: +420 224 190 477))

Keywords: CZECH RATES/HIGHLIGHTS

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