The central bank held the key rate at 15.5% in six consecutive votes over the course of 2025, a response to high inflation and uncertainty over the future of the country's finances. The bank expects inflation to decline to 7.5% by the end of 2026, and reach its target inflation rate of 5% by mid-2028. (Nizar al-Rifai/Luca Léry Moffat/The Kyiv Independent)Ukraine has witnessed two significant bouts of inflation since Russia's full-scale invasion in February 2022. The bank responded by raising the key rate from 10.0% to 25.0% in June 2022, where it remained until July 2023. The key rate has not fallen below 13% since the full-scale invasion.