Press release

On August 14 the refinancing rate will amount to 9.5% per annum

On August 14, 2019, the refinancing rate will be reduced from 10% to 9.5% per annum and the rate on overnight credit – from 11.5% to 10.75% per annum and that on overnight deposit – from 8.5% to 8.25% per annum.

The corresponding decisions were taken by the Board of the National Bank of the Republic of Belarus following the results of the meeting on monetary policy held on August 7, 2019.

In 2019 Q2, the intensity of inflationary processes slowed down. The assessment of consumer price growth, excluding seasonality for 2019 Q2, shows its decrease below the target level being 5% (during the previous three quarters, the growth was higher than this indicator).

The decisions taken in the field of interest rate policy ensure that it remains neutral in the context of the forecasted deceleration in inflation processes and the achievement of the inflation target for 2019.

The reduction in overnight credit and overnight deposit rates will narrow the interest rate collar on instruments designed to regulate banks’ liquidity and will increase the efficiency of the monetary policy transmission mechanism.

Further decisions in the field of the National Bank’s key interest rates will depend on the correlation between inflationary and deflationary factors.

The next meeting on monetary policy of the Board of the National Bank of the Republic of Belarus is planned for November 6, 2019.