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CEE inflation to rebound before long

While inflation fell further across Central and Eastern Europe (CEE) in March, we think that the recent run of good CPI news is largely over. We expect inflation to rise back above central banks’ target ranges in Hungary and Poland by end-2024 (to near 5%), which will limit scope for interest rate cuts. Our interest rate forecasts across the region generally lie towards the hawkish end of expectations.

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