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Czech central bank board members wanting an interest rate hike at Wednesday's policy meeting saw fiscal policy as one of the arguments, along with wage pressures and concerns about inflation expectations, for tightening, rate setter Karina Kubelkova said on Thursday.
She told a meeting with analysts, shown on the bank's website, that one scenario of the bank's updated outlook combined keeping rates unchanged for longer rather than declining late this year and elevated inflation expectations, resulting in inflation not being on target next year.
"This scenario was one of the main arguments for those who were for hiking," she said. (Reporting by Jan Lopatka and Robert Muller)