Pressure on the domestic foreign exchange market may prevent further lowering of the discount rate. Analysts of the Eurasian Development Bank (EDB) said.
It is noted that annual inflation in Kyrgyzstan has been declining for the fourth month in a row. But since October 2022, pressure has been growing on the domestic foreign exchange market.
«We also share the bank’s opinion that the announced increase in a number of administered tariffs may increase the number of internal pro-inflationary risks. Maintaining the current monetary conditions will help anchor inflationary expectations,» the EDB notes.
The National Bank of Kyrgyzstan decided to keep the discount rate at 13 percent at a meeting of the Board on January 30.
