Board of the National Bank of Kyrgyzstan decided to keep the discount (key) rate at 4.25 percent. Official website of the bank says.
An increase in production is reportedly observed in all major sectors of the economy. Industry continues to make a major contribution. Positive trends in the monetary and financial sectors of the economy persist.
«The taken tactical measures of monetary policy led to a decrease in the volatility of short-term interest rates in the money market and their formation near the key rate. Since the beginning of this year, there has been a steady growth trend in the deposit base, as well as an increase in the volume of the loan portfolio of commercial banks. The banking sector has a high volume of excess liquidity, which leads to continuation of sterilization operations by the National Bank. The dollarization level of the economy has also maintained a downward trend,» the National Bank stressed.
Under these conditions, it was decided to keep the discount rate at 4.25 percent. In case of risks in the internal and external environment, the National Bank may consider the possibility of adjusting the current monetary policy.
The next meeting of the Board of the National Bank on the discount rate issue will be held on January 27, 2020.
