– Inflation is like cancer. Excessive inflation destroys the economy – said NBP president Adam Glapiński at a press conference on Thursday, the day after lowering interest rates by 0.5 percentage points.
– There is another aspect that I haven't talked about before. Each row in the world, whether it is South America, North or Europe, is interested in wanting not, even if it would be made of the angels themselves, that inflation is a little higher than it should be, and interest rates lower than they should be – said prof. Adam Glapiński, which indirectly referred to the ironic commentary of Prime Minister Donald Tusk “better late than at all” after a decrease decision.
– Such respect shows roughly that each percentage point higher than it should be an additional impact on the budget PLN 16.5 billion. So when inflation decreases, budget revenues decrease rapidly. The decrease in inflation is good for the entire economy, including the government, which is responsible for the state, but this means a radical budget loss in this way – the President of the NBP pointed out.
– On the other hand, each reduction of interest rates and one percentage point means an increase in budget resources by PLN 6.3 billion, lower expenditure on budget debt services. The debt is high – he emphasized.
– No serious economist will expose his authority, his name, demanding premature lowering of the feet, when inflation still stands at the gates.
He pointed out that the release of regulated prices released the increase in inflation, so it was necessary to keep your feet longer.
