According to economists the Czech National Bank would carry on with the intervention at best until spring 2015 or even until 2016. Economists agree that on upcoming monetary session on 7th May the board will keep interest rate unchanged nor will they change their attitude to the foreign exchange interventions. According to the Home Credit analyst Michal Kozub present development of inflation showed that the recovery wouldn’t be that fast and the intervention should not end earlier than in spring 2015; few months later than scheduled. According to the analyst the CPI index had not reacted to the intervention so far. Also other analysts such as Pavel Sobíšek from UniCredit Bank or David Marek from Patria Finance agree that slower inflation growth would most certainly mean that CNB would keep the CZK exchange rate to EUR above the level of 27 CZK longer than until the beginning of 2015.
5th March 2019