Professor Ireneusz Dąbrowski on inflation and the dispute at the NBP

The professor was asked whether he agreed with the words of Adam Glapiński, who argued that there was a problem inflation does not exist anymore. Dąbrowski noted that he agreed with this statement with one reservation. – Since February this year, this sentence has actually been true. If we excluded January and February from our analyses, prices would not increase, he argued.

– In fact, prices have been stabilized for over half a year – he added.

He also assessed that inflation in October at 6.6 percent was a “good result”. – This is a very good indicator. In February this year, this indicator was 18.4 percent, which means that inflation was reduced by 12 percentage points. We have three points left to achieve the inflation target, he said.

– As an economist, I will say that 2024 will be the year of approaching the inflation target. I think that the goal will be achieved before the end of next year – said a member of the Monetary Policy Council.

The guest of “Fakty po Faktach” was also asked about the dispute at the NBP. Professor Dąbrowski said that he was “observing this discussion, this exchange of opinions.” He stated that it had quite a “fine base”.

– One of the management board members simply has a different opinion regarding the current practices at the National Bank of Poland (…) I was not a member of the management board, I do not know what the system for granting bonuses in the management board is. (…) In the case of the president of the National Bank of Poland, there is not even a millimeter of reservations regarding his violation of the constitution or laws. Even this whole discussion is about the regulations. This is a really trivial matter, blown out of proportion, he said.

– I don’t know of any regulation, constitution or law that President Glapiński would break. This must be said clearly. These are all certain journalistic slogans, certain strips on television.

The conflict at the National Bank of Poland has been in the news since Wednesday, November 8. Then, Paweł Mucha, member of the NBP management board, published a statement and two letters in which: accused the head of the NBP, Adam Glapiński failure to perform his duties and criticized the cooperation of the central bank authorities.

Mucha stated, among other things, that copies of the minutes of the Monetary Policy Council meetings are not made available to “at least some” members of the NBP management board.

Storm at the National Bank of Poland. A member of the management board writes about the president’s “failure to perform his duties.” READ MORE >>>

In response, the NBP management board emphasized that Paweł Mucha’s conduct, “in particular, involving the creation of an atmosphere of threat, settlements, conflict, baseless attempts to impose only his own point of view, groundless criticism of his colleagues and the President of NBP” is unacceptable, as well as “all other actions contrary to Principles of Ethics for Employees of the National Bank of Poland. As added in the central bank’s statement, “contrary to the allegations raised by Mr. Paweł Mucha, Member of the Management Board of NBP, and despite the proceedings referred to in section 1, the Management Board of the National Bank of Poland performs all tasks undisturbed, effectively and in accordance with the law.” .

A day later, Adam Glapiński said at a press conference that there was no conflict in the bank’s management board. According to the head of the NBP, Paweł Mucha’s case is “trivial” because, as a member of the management board, he demands “exorbitant amounts” for his work, bonuses and awards. – The way this work is performed does not justify it in any way, the dispute is only about the prizes – said President Glapiński then.

On Friday, November 10, at the next conference, Glapiński said that “anyone who baselessly attacks the NBP and its prestige is directly attacking the good of Poland.” READ MORE >>>