Czech News - June 96 - Anti-Inflation Provisions Of The Czech National Bank

In order to combat inflation, the Czech National Bank introduced the following measures in June:

• the discount rate was raised from 9.5% to 10.5% and the Lombard rate from 12.5% to 14%;
• the required minimum reserves for commercial banks were increased from 8.5% to 11.5% as of 1 August;

As a result of the above provisions it is expected that loan interest rates will increase proportionally.

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