PRAGUE, Dec 14 (Reuters) – Czech President Milos Zeman appointed Jan Prochazka, the chairman of a state export insurance agency, and economist Jan Kubicek to the seven-member Czech National Bank board on Wednesday to replace two members whose terms expire in mid-February.
The appointments are unlikely to swing the balance of opinion on the board, which has been voting 5-2 in favour of no more policy tightening since the last changes on the board in July.
The new members will replace Vice-Governor Marek Mora, who has been in favour of tightening policy further, and Oldrich Dedek, who opposed rate hikes throughout the banks’ June 2021-June 2022 tightening campaign which raised the main rate to 7% from 0.25%.
Kubicek, a specialist in pension systems and fiscal issues, has worked as the head of office at the independent state budget watchdog, the Czech Fiscal Council, since earlier this year, and has taught at the Prague University of Economics and Business.
Prochazka currently chairs state company EGAP which provides credit insurance for exports of Czech goods. He joined the company in 2012 from wealth manager Cyrrus.
Their views on current monetary policy issues are unknown.
The appointments are the sole authority of the president and do not face any vetting.
While Prochazka’s name is known in the wider financial and media community, Kubicek’s public profile has been thin.
The board will meet twice more in its current composition, on Dec. 21 and on Feb. 2, 2023, before the new appointments take effect.
Most central bankers have signalled stability was preferred as the bank tries to steady a fast-slowing economy hit by inflation, which reached a three-decade high of 18% year-on-year in September before easing somewhat in recent months.
In November, inflation was at 16.2% year-on-year, partly reduced by government measures to ease the burden of soaring energy prices which have been causing data fluctuations.
The central bank said November inflation would have been 3.6 percentage points higher without the government measures.
Reporting by Robert Muller; writing by Jan Lopatka; Editing by Alison Williams and Jonathan Oatis
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