Czech c.bank's Tuma: Crown tames price pressures

02.11.2007 | , Reuters
Zpravodajství ČTK


perex-img Zdroj: Finance.cz

The firm Czech crown is helping to tame price pressures stemming from high commodity prices, but this need not be a standard feature of the...

...Czech economy, central bank (CNB) Governor Zdenek Tuma said on Friday.

"While this (the inflation-dampening effect of a strong crown) is true, I would not like this to be understood as that this would always be the case and that this is systemic," Tuma told a conference.

The CNB board held the two-week repo rate at a five-year high of 3.25 percent for a second consecutive month in the face of a record strong crown last month, but made clear that tighter policy was needed soon to contain resurgent inflation.

[PRAGUE/Reuters/Finance.cz]

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