NATIONAL BANK’S NEW INFLATION FORECAST: 3.2% FOR CURRENT YEAR AND 4.9% FOR 2019

The average level of inflation in Moldova in 2018 will come out of the NBM-set ‘inflation corridor’ of 5% ±1.5%, and will reach 3.2%.

NBM Vice President Vladimir Voronin Munteanu said at a news conference on Friday that in the current year the average index of consumer prices will be 3.2%, but in 4Q2018 the inflation rate will be 2%.

Compared with the previous inflation forecast, the National Bank has lowered the 2018 inflation rate to 3.2% from the previous 3.3%, but left unchanged the 2019 forecast at 4.9%.

“In the 4th quarter of 2018, we are forecasting the rate of inflation to go down to 2%, but already in 4Q2019 the rate will climb up to 6.5%, so the next year’s average rate should be 4.9%”, said Munteanu.

The banker also announced the lowering of yields on governmental securities, namely on the ones payable in one year – to 4.52% from the previous 5.16%; on two-year papers – down to 5.64% from 6.11%, and 6-month papers – down to 4.27% from 5.10%.