Analysts expect no interest rate change by Czech National Bank despite Middle East conflict

Analysts expect the board of the Czech National Bank to keep its key interest rate unchanged at 3.5 percent at Thursday’s meeting. According to them, the impact of the conflict in Iran on the Czech economy remains limited and does not require a monetary policy response.

The central bank has kept the base rate at 3.5 percent since May last year. Analyst Dominik Kohut from PwC said the bank would likely leave policy unchanged even without the current geopolitical tensions.