The central bank of Czech Republic held the key interest rate in September at 1.25%, coming inline with median expectations. Policy makers opted to keep the rate at the current low level, after cutting it last month, on signs the worst economic recession since WWII is receding and the economy is on the right track towards recovery. On the other hand, the appreciation in the koruna along with the decelerating inflation, which reached 0.2% in August, supported keeping the rate unchanged.