National Bank of Kyrgyzstan lowers discount rate to 5 percent

The National Bank of Kyrgyzstan has lowered the size of the discount rate by another 0.5 percent. Since December 27, it is set at 5 percent, the Chairman of the National Bank of the Kyrgyz Republic Tolkunbek Abdygulov told today at a press conference.

According to him, the decision is caused by the state of the economy. Thus, the general price level remains low. In December, the consumer price index fell by 1.1 percent in annual terms. Food component of inflation has slowed the fall, and non-food component dropped to 4 percent.

"Pursued by the National Bank in 2016 policy on lowering the discount rate helped to stimulate the real economy sector. The results of the implementation of monetary policy are also manifested in the reduction of the current interest rate in the national currency on the interbank credit market," Tolkunbek Abdygulov noted.