NBM KEEPS MONETARY POLICY INSTRUMENT RATES UNCHANGED

The National Bank of Moldova Administrative Board decided to preserve the base rate on short term transactions at the level of 6.5%, the rate on overnight deposits – at 3.5%, overnight credits – 9.5%. The required reserve ratio from funds attracted in the national currency and in nonconvertible currencies was also left at 40% (since May 2017), while in convertible – at 14% (since May 2011). The decision was taken on the basis of the latter macroeconomic analysis and the regular correction of the mid-term inflation forecast. The targeted annual inflation will fall to 2% on average in 4Q2018. The annual forecasted inflation was lowered by 0.1% – to 3.2% in 2018, while for 2019 – was left unchanged (4.9%). The next Administrative Board meeting on monetary policy will take place on September 24.