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Ukraine's National Bank expectedly cuts key policy rate from 15.5% to 15% per annum
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Interfax-Ukraine
"A decline in price pressures, together with easing risks of insufficient external financing, creates room for monetary policy easing.
The baseline scenario of the NBU’s January macroeconomic forecast provides for a gradual further reduction of the key policy rate over the forecast horizon.
At the same time, a weakening of pro-inflationary risks will signal faster cuts in the key policy rate than foreseen by the revised macroeconomic forecast," the statement said.
Ahead of the meeting, bankers’ views were divided: some expected the regulator to keep the key policy rate at 15.5%, while the majority of respondents forecast a cut to 15.0%.
As reported, starting in March 2025 the National Bank held the key policy rate at 15.5% for seven consecutive meetings, having raised it three times prior to that beginning in mid-December 2024.