The National Bank of Poland, in its latest quarterly inflation report, predicts cuts to its benchmark interest rate will drag inflation back up to its 2.5% target by the end of 2014.

During its past five meetings, the central bank's monetary policy council has slashed the benchmark rate by a total 150 basis points in an attempt to stimulate the economy. The report, released today, estimates inflation will hit 1.3% this year, below the 1.5% predicted in the last report, before soaring to 2.6% in