The Polish zloty, one of the best performers among the Eastern EU members currencies this year had its rally halted today as the national bank indicated that a strong currency may jeopardize the economic recovery in one of the biggest European nations.
Today, the zloty was influenced by a national central bank policy maker, Jan Czekaj, who affirmed that if the Polish currency climbs further, the economic growth of Poland will be affected, creating a certain degree of tension regarding central bank future measures, naturally decreasing attractiveness for the zloty. The Polish economic recovery is likely to be driven by exports, mainly to the Eurozone, and being the zloty the best performing currency so far in this quarter, further appreciation is highly unwelcome by police markers in the National Bank of Poland. Within the European Union members, Poland is showing itself one of most resilient nations, posting a growth of 1.1 percent for the past quarter.
Jan Czekaj’s statements affected the zloty’s performance towards the end of this week, and most likely, it was meant to be so. Speculations that the central bank could take measures to slow down or halt the zloty’s rally are still not very significant, but if the Polish currency continues to climb, mainly versus the euro, measures may be considered for the mid-term future.
EUR/PLN traded at 4.1220 as of 13:34 GMT after being traded at 4.1075 yesterday.
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