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Inflation in the Czech Republic could fall to a rate below 10% already in June, central bank Vice-Governor Eva Zamrazilova said in an interview with news website Seznam Zpravy published on Friday.
Zamrazilova also said she believed the decision to leave interest rates unchanged at the last policy meeting - which she had supported while a minority wanted a rate hike - was still correct. Data since has had an anti-inflationary character, she said.
The Czech National Bank voted 4-3 to leave its base rate at 7.00% in May, with the number of policymakers wanting tighter policy growing - a surprise to markets that have priced in rate cuts later this year.
Inflation eased to a year-on-year rate of 12.7% in April, and Zamrazilova told Seznam Zpravy it was on target to be in single digits by June.
"My estimate is that May inflation will be between 10% and 11%. In June it could be below 10%," she said.
She said data on wages, retail sales and household consumption seen since the May rate decision were anti-inflationary.
Asked if a rate hike as a signal for markets that the bank was serious about fighting inflation, like suggested by another board member, was needed, Zamrazilova said: "At this moment, I believe the decision in May was right."
(Reporting by Jason Hovet, Editing by Angus MacSwan)