Feb 6 (Reuters) - All seven Czech central bank (CNB)
policymakers are set to attend a monetary policy meeting on
Thursday, which markets expect to result in a 25 basis point
interest rate hike following a decision to leave rates flat in
December.
Below are the bank's new communication rules taking effect
at the meeting, the line-up of the CNB governing board,
background on policymakers' general preferences and a history of
the past five rate moves.
For a FACTBOX with latest central bankers' comments on
policy, click on [].
For a FACTBOX on central European banks' monetary policy
decisions, click on [].
===================NEW COMMUNICATIONS RULES====================
- The bank will start releasing board members' voting record
by name in the minutes of the latest board meeting. So far, the
bank has only been releasing the proportion of votes in favour
and against a proposed policy decision.
- The bank will start releasing the implied trajectory of
future interest rates in the form of a fan chart.
- The bank will lower the number of policy meetings to eight
per year from 12 a year.
=================CENTRAL BANK GOVERNING BOARD==================
GOVERNOR ZDENEK TUMA, 46 years old, mandate until Feb 2011.
- has said in recent statements that he cannot exclude
interest rate hikes; the risk of demand-pull price growth and
wage contagion in the booming economy makes him reassert his
inflation-fighting credentials given his general responsibility
for maintaining price stability as the bank's chief executive.
VICE-GOVERNORS:
LUDEK NIEDERMAYER, 41, mandate until Feb 2008.
- has sounded the most hawkish in recent weeks.
MIROSLAV SINGER, 39, mandate until Feb 2011.
- a moderate who has held very pragmatic policy views;
advocate of flexible policy stance; has said he is not afraid of
calling for frequent policy changes in order to ensure interest
rates are kept as low as possible.
OTHER MEMBERS:
MOJMIR HAMPL, 32, mandate until Nov 2012.
- he says he sees himself as an owl rather than hawk or
dove, seeking to watch the economy develop without too much
interference but not hesitating to peck when need be; has said
rates may be near their peak or even at their peak.
ROBERT HOLMAN, 53, mandate until Feb 2011.
- seen leaning towards dovish views on inflation; says as a
general rule, he prefers stability in interest rates to frequent
change so as not to disturb the real economy.
PAVEL REZABEK, 46, mandate until Feb 2011.
- pragmatic advocate of accommodative policy stance; speaks
in favour of letting inflation both rise and fall within the
plus/minus 1 percent tolerance band around the bank's 3 percent
inflation target.
VLADIMIR TOMSIK, 33, mandate until Nov 2012.
- usually advocates caution about tightening policy but has
spoken about the need to react to possible signs of rising
inflationary expectations or demand-side pressures; in the past,
he had repeatedly criticised the CNB's track record of
undershooting its inflation target and missing inflation
forecasts.
=================FIVE MOST RECENT RATE CHANGES============
November 2007: 25 basis point hike to current 3.50 percent
August 2007: 25 basis point hike to 3.25 percent
July 2007: 25 basis point hike to 3.00 percent
May 2007: 25 basis point hike to 2.75 percent
September 2006: 25 basis point hike to 2.50 percent
(Compiled by Jan Lopatka, editing by David Christian-Edwards)
