The National Bank predicts a decrease in the discount rate to 13% this year
Kyiv • UNN
The National Bank of Ukraine has cut its key policy rate from 14.5% to 13.5% to support lending and economic recovery while managing inflationary risks.
The NBU forecasts that the key policy rate will be cut to 13% this year. Such a rate cut, together with the planned measures to simplify currency rules, should not lead to new risks to stability in the economy and the foreign exchange market. UNN writes about this with reference to the NBU data.
The baseline scenario of the NBU's forecast envisages a cut in the key policy rate to 13% this year. This easing of interest rate policy and the planned steps toward currency liberalization should not pose additional threats to macrofinancial stability and FX market resilience
The NBU writes that in case of significant changes in the balance of risks, the monetary policy is planned to be adapted. It is noted that reducing risks to inflation and exchange rate stability may create preconditions for additional steps to reduce the key policy rate and ease currency restrictions, which will support lending and economic recovery.
Recall
The National Bank of Ukraine cut its key policy rate from 14.5% to 13.5% to support lending and economic recovery while managing inflationary risks.
