NBU Cuts Discount Rate to 14.5%

by Cheplyk Roman
Thursday, March 14, 2024
NBU Cuts Discount Rate to 14.5%

The National Bank of Ukraine has decided to reduce the discount rate from 15.0% to 14.5% per annum starting from March 15, 2024

National Bank Chairman Andriy Pishniy highlighted that this decision marks the continuation of the cycle of discount rate reductions initiated in July of the previous year.

Pishniy emphasized, "Further slowing of inflation, preservation of a stable situation on the foreign exchange market, as well as positive developments in the matter of receiving foreign aid provide grounds for earlier resuming the cycle of softening of the interest rate policy."

It's worth noting that in January of this year, the NBU opted to maintain the interest rate at 15%. Additionally, last year, a majority of the monetary policy committee members of the National Bank expressed the view that the reduction of the discount rate could commence earlier than predicted by the macroeconomic forecast, contingent upon inflation deceleration.

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