WARSAW, Jan. 17 (Xinhua) -- Poland's central bank governor Adam Glapinski said on Friday that inflation will remain at a high level through the end of the year, ruling out immediate interest cuts.

Speaking after the Monetary Policy Council decided to hold rates steady, Glapinski attributed persistent inflation to factors such as energy prices, regulatory uncertainty, and rising wages.

"The labor market is tight, and rapid wage growth drives spending, which fuels inflation," he said.

While inflation is expected to ease slightly in the third quarter, Glapinski warned it would pick up again toward year-end. He stressed the impact of energy prices and uncertainty over government policies, which he said complicate monetary planning.

Glapinski dismissed the prospect of raising interest rates, calling it "only a theoretical possibility." He added that rate cuts would only be considered if inflation forecasts showed a significant and rapid decline, a scenario he deemed unlikely.

Despite inflationary pressures, Glapinski praised Poland's solid economic growth, forecasting growth of 3 percent this year, among the highest rates in the European Union. However, he acknowledged that strong growth could also pose challenges to reducing inflation.

According to the Central Statistical Office, Poland's consumer price index rose 3.6 percent in 2024. In December last year, prices were up 4.7 percent year-on-year. Enditem

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