Governor, Czech National Bank Zdenek Tuma of Czech Republic

In the open economy of the Czech Republic, the exchange rate is important and the pass-through on inflation is relatively strong,'' Tuma said in an interview in Cape Town yesterday.

Unsustainable'``By definition this pace of appreciation is unsustainable,'' Tuma said on the sidelines of a meeting of central bankers from around the world.

Tuma said the currency's gain was one of the factors that prompted the central bank's seven-member board to keep the rate unchanged at its last meeting on Oct 25.

and then there is this:Czech central bank Governor Zdenek Tuma said the country can ``afford'' to keep the koruna even if neighboring countries switch to the euro.

The Czech economy has been growing between 5 percent and 6 percent in the past few years, this is not a failure,'' Tuma said in an interview in Cape Town yesterday.

Tuma said the country will eventually become a member of the 13-member euro region.

fallen from last month's record highs against the euro.

Mr Tuma said nonetheless that the sort of turmoil seen in western Europe was unlikely to be visited upon the central European republic because the success of the domestic economy had meant the country's banks are less exposed to American or other foreign investments.

Bank since his appointment in December 2000.

However, inflation targeting has raised questions, such as whether smaller countries with weaker economies will be able to afford the practice and if it is possible to judge its success when inflation has been low for the past two decades, but Tuma is confident the practice can exceed these concerns.

Tuma discussed the effects of both policies in the Czech Republic.

Tuma said an additional benefit of inflation targeting was that it can help mitigate the impact of inflationary shock, something that a fixed exchange rate can not do without making abrupt and often times unsuccessful changes.

Still, Tuma said that choosing the right monetary policy is not the sole factor for success in emerging economies and explained that it is not a substitute for sounds governmental policies.

economic development could be described as ``normal.

the board to be complete at its meeting in July.

central bankers from around the world.

keep the rate unchanged at its last meeting on Oct 25.

Using the on-one-hand and on-the-other-hand argumentation so beloved of economists, Tuma said views on the euro were mixed: "On the one hand you could get rid of exchange rate risk, and a significant part of the business sector would welcome that.

Tuma said that the economy would be ready to join the euro between 2012 and 2014, but that the government could argue that it is more focused on its current programme of economic reforms and may not find the political energy to push through the project.

Prague - The Czech Central Bank Chief Zdenek Tuma has suggested 2019 as the earliest date for the Czech Republic to enter the euro zone, it was reported Thursday.

questioned which country might be next to follow Slovakia.

Central bank governor Zdenek Tuma hinted of possible interest rate cut already on the monetary session on Aug 7 in order to fight the extraordinary strengthening of the local currency against the EUR and the USD, which hampers the economy, Tuma said in interview for newswire Bloomberg.

Tuma is concerned that the strong exchange rate might lead to inflation undershooting the target in horizon of 4-6 quarters.

Major risks and uncertainties to the new projections, were slightly pro-inflationary, Tuma said – on the upside are higher outlook for 1-year EURIBOR, higher outlook for oil prices and faster growth in wages in the business sphere; on the downside - stronger CZK exchange rate and larger then expected slowdown of real economic activity.

PRAGUE (Thomson Financial) - Czech central bank (CNB) governor Zdenek Tuma accepted the Czech government's nomination for the European Bank of Reconstruction and Development's (EBRD) president's post, the CNB said.

Tuma has led the central bank's governing board since 2000.

this job has always been and still is a big challenge for me,' Tuma said in a statement today.

FRANKFURT (Thomson Financial) - Czech central bank president Zdenek Tuma has rejected calls for a speedy introduction of the European Union's common currency in his country, German daily Financial Times Deutschland reported.

Turning to the domestic currency, Tuma said the central bank does not rule out action if the crown appreciates further.

Furthermore, governor Tuma said that views on the timing and size of future interest rate rises among CNB board members will most likely differ.

Tuma is also responsible for sprucing up the country’s financial services industry.

Zdenek Tuma has also had to contend with the impact of rising oil prices on annual inflation, which inched up by 0.

from the IAES Executive Vice President, Dr.

Latvia, Hungary woes may spread aversion: Czech central bank (Reuters) 9 December 2008 LONDON - Economic problems in Latvia and Hungary could spill over into the Czech economy via increased risk aversion among investors, Czech central bank Governor Zdenek Tuma said on Tuesday.

PRAGUE, Dec 29 (Reuters) - Czech central bank Governor Zdenek Tuma said he saw room to cut interest rates by as much as 2.

PRAGUE, Nov 18 (Reuters) - Czech authorities will likely debate setting a euro adoption date next year, central bank chief Zdenek Tuma said on Tuesday.

The governor of the Czech National Bank (CNB) Zdenek Tuma says he is unconvinced that the privatisation of national telecoms operator Cesky Telecom (CT) will have any impact on the trading rate of the local currency, the Czech crown.

It also said the risks were on the highside, however, and Governor Zdenek Tuma said that there was scepticism on the board about the chances of reducing interest rates this year.

Tuma said that some board member are uncertain whether the crown will sufficiently tighten monetary conditions.

Tuma said that while pro-inflationary risks remained very significant, the board believed that the pick up in inflation is of a one-off character and that inflation should return to target without further monetary tightening, with the crown's exchange rate playing a key role in the tightening monetary conditions.

Tuma said the increase in the rate of inflation is only temporary and 'interest rates are only low compared to inflation at the moment; looking forward they are not.

We keep the base rate low so that the crown does not appreciate even more,' Tuma was quoted as saying in HVG.

Speaking on euro adoption, to which the Czech government has not yet set a target, Tuma said he 'could imagine euro entry soon because the Czech economy is in a very good state, but for that strong political will is needed.