Prague - The Czech National Bank (CNB) may have devaluated the Czech crown purposefully in order to delay the Czech Republic´s entry to the euro zone, President Milos Zeman said at a press conference after a meeting with trade unions today.
Tisková konference prezidenta Miloše Zemana 21. srpna v Praze po jednání s představiteli Českomoravské konfederace odborových svazů (ČMKOS). Vlevo je předseda ČMKOS Josef Středula. ČTK Šulová Kateřina
The CNB may have done so in order not to lose its powers, Zeman said.
"Along with the euro zone entry the Czech National Bank would lose a major part of its powers to the benefit of the European Central Bank," Zeman said.
The CNB launched forex interventions over a threat of deflation in November last year. At the end of July this year, the CNB Bank Board said it would not exit the intervention regime before 2016.
The central bank's interventions have been criticised by a number of economists, entrepreneurs as well as President Zeman and his predecessor Vaclav Klaus.