Poland cuts key interest rate to 4.25 percent

Poland's central bank slashed its key interest rate by three quarters of a percentage point to 4.25 percent Tuesday amid signs the country's economy is slowing.

The National Bank of Poland announced the cut to its seven-day intervention rate on its Web site. It was expected to release details about the decision later Tuesday.

The bank also cut the key interest rate by 0.75 percentage points last month.

Analysts had expected the bank to cut rates in January, although many predicted cuts of just a half percentage point.

Government data shows that industrial production fell 4.4 percent in December compared with the same month last year, while unemployment climbed for the second consecutive month to 9.5 percent in December.
Poland's currency, the zloty, has also shed value against the U.S. dollar and the euro in recent months.
Source: iht.com