MINSK, 19 December (BelTA) – The refinancing rate and interest rates on liquidity control operations of the National Bank of the Republic of Belarus will remain as they are. The decision was made by the session of the Board of the National Bank of the Republic of Belarus (NBRB) held on 19 December to discuss monetary management, BelTA has learned.
The central bank believes that this year's increase in consumer prices will not exceed 5.5% while the target has been set at 6%. The Belarusian economy continues developing in the face of unstable external factors. A temporary increase in inflation pressure is attributed primarily to faster inflation in Russia.
The Belarusian economy grows at a pace close to equilibrium. Monetary conditions are close to the neutral level.
Inflation is expected to temporarily accelerate in early 2019 due to the continued pressure in the form of short-term market factors. Prices for imported commodities and services will rise. Once these effects are no longer in place, consumer price growth will gradually slow down. Inflation in 2019-2020 is expected to be close to the target of 5%.
The temporary nature of inflation factors and the moderate size of current risks allow keeping interest rates in the economy as they are.
The next NBRB Board session to discuss monetary management is scheduled for 6 February 2019.
The previous session took place on 19 September 2018. Its participants also decided to leave the key interest rate at 10% per annum.
