Latest News

Poland plans to freeze energy prices for homes

The Polish federal government is working on ways to freeze energy bills next year, Prime Minister Donald Tusk said on Saturday, as electricity costs remain a. major inflation danger for eastern Europe's greatest economy.

Poland topped power expenses for vulnerable consumers in 2022. to reduce the impacts of soaring energy rates, and has been. paying settlement to balance out costs to power utilities. The. procedures remain in location until the end of this year.

I have actually asked the financing minister to urgently present a way. to freeze energy rates next year, Tusk stated.

Ministers have actually made a dedication to give me a particular. proposal in the coming days for freezing energy costs for. specific consumers, but we are also considering manufacturers,. he included.

He did not give any information on price levels or for how long. costs would be frozen.

On Friday, Poland's central bank provided two sets of. economic forecasts in its latest inflation report, one for a. circumstance in which anti-inflation measures are extended by the. government and another for a circumstance in which they are not.

It anticipates inflation to rise to 4.3% in 2025 if procedures to. keep home energy prices down are extended, or to 5.6% if. they are not extended. The reserve bank sees 2024 inflation at. 3.7%.

The reserve bank's primary rates of interest has actually been on hold at. 5.75% given that October 2023, with policymakers staying with a. wait-and-see approach in the face of unpredictability over whether,. and to what level, the federal government will extend energy cost caps. for households.

(source: Reuters)