MPC Senate member agrees with Glapinski. It’s about inflation.

Przemysław Litvniuk, member of the Monetary Policy Council (MPC), was a guest of “Studia Biznes” Gazeta.pl on Thursday. He was asked, among other things, whether the data presented last week by the Central Statistical Office is the peak of inflation (recall that According to the Central Statistical Bureau, inflation in February amounted to 18.4 percent.

Is the peak of inflation behind? Litvinyuk explains

- If we talk about indicators measured by traditional methods, then yes. The figures are expected to fall, but as I emphasize every time, this does not mean that prices will start to fall. According to the March forecast of the National Bank of Poland, prices will continue to rise over the horizon of this two-year forecast, but at a slower pace - said the IPC member.

– We will get to the point where external factors will become less and less important (unless something extraordinary happens), we will have to deal with internal factors, this struggle will be more difficult – added.

A member of the WKP, elected early last year by the Senate (the opposition has a majority in the upper house), referred to recent forecasts by the president of the National Bank of Poland (NBP), as well as the chairman of the Council, Adam Glapinski, according to which inflation could fall to 8 percent at the end of this year. “There is a chance that it will.” According to the data held by the National Bank of Poland, it looks like this: Litvinyuk said.

When asked whether it is realistic to achieve the inflation target (2.5 percent with a deviation of 1 percent) in 2025 (this is indicated by the latest NBP forecast), Litvinyuk stressed that “this is why the forecast is carried out three times a year - in March July, November - to bring the parameters of monetary policy in line with the needs, with our constitutional obligation to bring inflation to a given target level.

In the program, Litvinyuk pointed out that the concept of “inflation expectations” is understood as “inverted”, because these are not our expectations related to the level of inflation, but “a picture of what people, unfortunately, expect, expectations higher inflation puts pressure on wages .

Wages in Poland - how many steps behind inflation?

When asked if this would have a negative impact on the labor market, the MPC member emphasized that the labor market in Poland has not been so strong yet. However, we are dealing with stratification in this market when it comes to wages. – While wages in the corporate sector are two steps behind inflation, in the public sector they remain far behind rising prices – explained Litvinyuk.