The NBM kept the base rate applied to the main short-term monetary policy operations at the same level - 6% per annum.
This decision was adopted by the Executive Committee of the National Bank of Moldova (NBM) at a meeting on September 19. The National Bank also left unchanged the interest rates on overnight loans and deposits - 8% and 4% per annum, respectively. Also, the norms of banks' required reserves in lei (MDL) and in foreign currency remained unchanged. In particular, the norm of required reserves from funds attracted in MDL and non-convertible currency was maintained at the current level - 34% of the calculation base, while the norm of required reserves from funds attracted in freely convertible currency - 45% of the calculation base. According to the NBM, the decision on monetary policy was made in order to stimulate consumption and balance the national economy, especially since the new macroeconomic information confirms the validity of the last forecast of the NBM, including the tendency to reduce inflation. The National Bank of Moldova emphasizes that the softening of consumer prices, the expected downward trend, as well as the further reduction of interest rates will support the economy. "This framework creates preconditions for the NBM to further reduce the base rate at the next monetary policy meeting. However, the decision will depend on the development of the situation in the world economy, as well as on the situation in the country: the volume of state financial assistance for the cold season, the dynamics of tariffs for natural gas, electric and thermal energy, the dynamics of interest rates, as well as the volume of issued loans. At the same time, the decisions on the adjustment of the state budget for 2023 and the elaboration of guidelines for 2024 will also be taken into account," the NBM said. The NBM emphasized that it will continue to monitor the internal and external macroeconomic situation and, if necessary, will take tough measures to return inflation to the target value and maintain it. Besides, the NBM decision, accompanied by the measures taken by other authorities, will contribute to the development and economic growth. The next NBM meeting on monetary policy will be held on November 7, according to the schedule. As InfoMarket reported earlier, at its last monetary policy meeting on August 9, the NBM also kept the base rate applied to the main short-term monetary policy operations at the same level - 6% per annum. At the previous meeting on June 20, the National Bank reduced the base rate applied to the main short-term monetary policy operations by 4 p.p. - from 10% to 6% per annum. Earlier, on May 11, the National Bank reduced it also by 4 p.p. - from 14% to 10% per annum, on March 20 - from 17% to 14% per annum, on February 7 - from 20% to 17% per annum. It is noteworthy that earlier the NBM reduced the base rate applied to the main short-term monetary policy operations only on December 5, 2022, decreasing it by 1.5 p.p. - from 21.5% to 20% per annum. Before that, it had not been cut for 2 years, since November 6, 2020, when it was reduced from 2.75% - to 2.65% per annum. Since then, until December 5, 2022, it has only increased, reaching 21.5% in August 2022. // 19.09.2023 - InfoMarket.
