HIGHLIGHTS-Slovak c.banker's comments after policy meeting

20.12.2006 | , Reuters
Zpravodajství ČTK


perex-img Zdroj: Finance.cz

Following are selected comments by Slovak central bank Vice-governor Martin Barto after the bank board decided to keep interest rates on hold at...

...its monetary policy meeting on Wednesday.

ON INFLATION:

"Inflation developed in line with the NBS' expectations in November, while we expect a significant slowdown in the future period mainly because of more favourable trends in regulated energy prices.

"Based on the assessment of current and expected macroeconomic trends, the bank board stated that the identified inflation risks are neither materialising, nor deepening."

ON MONETARY SETTINGS:

"Based on detailed analysis, individual indicators are creating conditions for a low inflation environment with sustainable economic growth.

"That's why it is not needed to tighten the interest rate component of monetary conditions."

"The crown is one of components influencing monetary conditions. I consider the setting of monetary conditions appropriate at the moment.

ON GDP:

"Based on the structure of economic growth it is possible to assume that GDP dynamics in the first quarter (of 2007) will not have a pro-growth impact on inflation through excessive domestic demand."

[Reuters/Finance.cz]

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