The Czech central bank maintained its key interest rates and the currency exchange rate commitment for the twenty-third straight rate-setting session on Thursday.
The Czech National Bank Board kept the two-week repo rate at 0.05 percent, in line with economists’ expectations. The discount rate was retained at 0.05 percent and the Lombard rate at 0.25 percent.
The bank repeated its commitment to intervene on the foreign exchange market if needed to weaken the koruna so that the exchange rate of the currency against the euro is kept close to CZK 27/EUR. The central bank reiterated that the exchange rate commitment is one-sided.
The CNB had set the exchange rate floor in November 2013. The bank, then, decided to retain it for at least until the start of 2015.
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