Polish c.banker Kotecki says US elections may increase zloty volatility, ISBnews reports
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WARSAW, Oct 23 (Reuters) -Polish central banker Ludwik Kotecki believes the U.S. presidential elections could increase volatility in the zloty, ISBnews reported on Wednesday.
"When it comes to the presidential elections in the United States, they are a factor increasing uncertainty," Kotecki said.
"Uncertainty and greater market volatility always have a greater negative impact on developing countries than on mature, wealthy economies. The zloty may also be subject to greater fluctuations," he added.
He noted the weakening of the zloty EURPLN= in recent days, which slipped past 4.30 per euro, though it remains Central-Eastern Europe's top performing currency this year.
"It is impossible to judge whether this (weakening) will continue. This may be an element of waiting for the results of the presidential elections in the U.S.," he said, adding it was certainly also a result of September data from the Polish economy.
Kotecki said in the event of a Donald Trump victory, uncertainty "will probably increase more, especially in our part of the world".
"We are talking about Trump's protectionist policy, trade wars and geopolitical changes, unfavourable for Europe. This may result in pressure for the depreciation of our currency," he added.
Reporting by Karol Badohal; editing by Jacqueline Wong and Jason Neely
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