Wednesday, December 05, 2012 8:43 am
Poland cuts interest rates to help slowing economy
The Associated Press
Wednesday's cut is the second in a month. In early November, the central bank lowered the reference rate also by a quarter point, to 4.5 percent, in its first cut in three years.
The cuts aim to boost domestic demand and were made despite inflation hovering around 4 percent, above the bank's target of 2.5 percent. Lower interest rates tend to support inflation as well as economic activity.
The economy grew by 4.3 percent last year but is forecast to slow to just above 2 percent this year. In the third quarter, it grew only 1.4 percent.