Refinancing rate from 18 October in Belarus is reduced from 11.5 to 11% per annum. The relevant decision as transfers “Interfax”, was adopted at the quarterly meeting of the Board of the national Bank, stated that inflation in the country continue to slow down.
“In August 2017 on a yearly basis, consumer price growth dropped to 5.3%. The main contribution to the slowdown in the annual growth rate of consumer prices make the goods not subject to seasonal influence and administrative regulation. The share of goods in the consumer basket, prices have risen in annual expression less than 5%, increased in August 2017, to 63% (about 30% a year earlier),” – said in the national Bank.
The Central Bank forecasts that annual inflation will be at 6%. The current decline of the refinancing rate – is the eighth this year. From 18 January 2017, it was reduced to 17% from 18% per annum from February 15 to 16% per annum, from March 15 – up to 15% per annum, from 19 April to 14% per annum, from 14 June to 13% per annum from 19 July to 12% per annum, from 13 September to 11.5%.
“Keeping in view the actual folding dynamics of inflation expected growth in consumer prices will develop in the end of 2017, lower than predicted earlier, closer to 6%,” – said in the National Bank. According to the regulator, the country is still not observed significant risks of gain in the medium term, inflationary pressures, balance of payments.
“Further decisions on changing the interest rates of the National Bank will be determined by the likelihood and magnitude of realization of the inflation risks hindering the achievement of medium-term inflation target (5% in 2020)”, – summed up in the National Bank RB.
Refinancing rate in Belarus – the instrument of monetary regulation, through which the national Bank influences rates of the interbank market, and interest rates on deposits and credits for legal entities and individuals, provided to them by credit institutions. Under this rate the regulator lends to commercial banks.