The Czech National Bank (CNB) is considering a potential interest rate cut of either 25 or 50 basis points at its meeting scheduled for May 2, according to Vice-Governor Eva Zamrazilova. This move aligns with the bank’s ongoing easing cycle, which commenced in December 2023.
As an EU member, the Czech Republic does not utilize the euro as its official currency. Consequently, it does not participate in the Eurosystem or the European Central Bank’s (ECB) monetary policy decisions. Instead, the Czech National Bank retains control over monetary policy for the Czech koruna (crown) and is an integral part of the European System of Central Banks (ESCB), which includes the ECB and the national central banks of all EU member states.
