Exit from the exchange rate commitment

At its extraordinary monetary policy meeting on 6 April 2017, the Bank Board of the Czech National Bank decided to discontinue the use of the exchange rate as an additional instrument for easing the monetary conditions. By taking this step, the CNB returned to the conventional monetary policy regime, in which interest rates are the main instrument. The koruna exchange rate may thus fluctuate in either direction depending on demand and supply. However, the CNB stands ready to use its instruments to mitigate potential excessive exchange rate fluctuations.

• Statement of the Bank Board following the extraordinary monetary policy meeting of 6 April 2017
• Frequently asked questions on the exit from the commitment
• The exchange rate as a monetary policy instrument

Interviews, articles

CNB Vice-Governor Vladimír Tomšík for media

• Bloomberg – 19. 6. 2017

Marek Mora, Bank Board member for media

• Reuters – 20. 6. 2017

Presentation

• Coordinating Monetary and Macroprudential Policies in a Low Interest Rate Environment (pdf, 545 kB)
  Vladimír Tomšík, Vice-Governor, Czech National Bank
  International Financial Congress
  Central Bank of Russia
  St. Petersburg, 12–14 July 2017
• Czech vs. Swiss Exchange Rate ”Floor“ (pdf, 1.7 MB)
  Tomáš Holub, executive director, Monetary Department, Czech National Bank
  Embassy of Switzerland in Prague and think tank IDEA lecture
  The exchange rate as a monetary policy instrument
  Prague, 31 May 2017
• Monetary Policy Challenges: Experience of the Czech National Bank (pdf, 483 kB)
  Marek Mora, CNB Board Member
  Nordea Emerging Markets Seminar 2017
  Copenhagen, 18 May 2017
• CNB meeting with analysts (pdf, 2.7 MB)
  presentation from the quarterly meeting with the analysts (Inflation report II/2017)