Press release

The refinance rate is remaining unchanged at the level of 10% per annum

The refinance rate and the interest rates on the liquidity regulation transactions of the National Bank will remain at the current level. This decision was taken by the Board of the National Bank of the Republic of Belarus following the results of the meeting on the monetary policy carried out on September 19, 2018.

The annual inflation complies with the forecasted dynamics. In future, the prices will grow around the target value of 5% set for 2019-2020. Obstacles created by the domestic economy are hardly in evidence for this process. Definite proinflationary risks are formed by worsening foreign economic conditions and increased uncertainty of their future development.

In August 2018 consumer prices grew by 5% in annual terms. At year-end 2018, the inflation worth about 5.5% is expected, with the target being no more than 6%.

Internal demand makes a moderate impact on the dynamics of prices. A certain strengthening of inflationary pressure is observed on the part of the external sector, which is, primarily, related to the expected acceleration of the inflationary processes in Russia.

Maintenance of the disinflationary character of monetary conditions will be required with a view to constraining inflationary pressure of the external sector and attaining the inflation target.

Preservation of the refinance rate at the current level is designed to keep up monetary conditions ensuring the maintenance of inflation in 2019-2020 close to the target value of 5%.

The next meeting of the Board of the National Bank of the Republic of Belarus on the monetary policy is scheduled for December 19, 2018.

Comments of the Board of the National Bank to the Decision to Maintain the Refinance Rate at the Current Level