National Bank of Romania

National Bank of Romania Keeps Key Interest Rate at 5.25%

January 7, 2013

The NBR Policy Board did not change the monetary policy rate, which has been at 5.25% since March 29, 2012 when the last of four 25-basis point cuts over a 5-month span was announced.  Nine earlier reductions in 2009-10 totaled 400 bps.  A statement from bank officials emphasized the need for prudence in light of […] More

National Bank of Romania

November 2, 2012

In this context and with a view to efficiently anchoring inflation expectations, the NBR Board has decided to keep the monetary policy rate unchanged at 5.25 percent per annum, to ensure a firm liquidity management in the banking system and to maintain the existing levels of minimum reserve requirement ratios on both leu- and foreign […] More

Last Jobs Report Before Election Day

November 2, 2012

U.S. stocks rallied yesterday in response to a slew of better-than-forecast economic statistics — the ISM manufacturing survey, consumer confidence, the ADP and jobless claims.  Asian share prices picked up that tone, climbing Friday by 1.3% in Hong Kong, 1.2% in Japan, 1.1% in South Korea, 0.7% in Thailand, 0.5% in Singapore and 0.4% in […] More

Romanian Monetary Policy

September 27, 2012

Policymakers at the National Bank of Romania left their main interest rate at 5.25% in spite of a significantly greater on-year 3.9% rise of consumer prices because The CPI spike should recede given Romania’s sizable negative output gap, The CPI spike does not reflect an underlying deterioration but rather supply-side food shocks and an adverse […] More

Romanian Monetary Policy Left Unchanged This Month

August 2, 2012

Officials at the National Bank of Romania cut their policy interest rate four times by 25 basis points each between November 2011 and March 2012 but have made no further subsequent adjustment.  The rate level remains 5.25% after this week’s meeting, and it represents a cyclical low.  Five cuts totaling 225 bps were implemented in […] More

National Bank of Romania

May 2, 2012

Monetary authorities opted for prudence in the face of domestic policy uncertainty, a more vulnerable leu exchange rate, and general European debt uncertainties.  They elected to keep the benchmark interest rate steady at 5.25% rather than implement a fifth straight cut of 25 basis points even though CPI inflation eased further in the first quarter.  […] More

National Bank of Romania Implements Another Rate Reduction

February 2, 2012

Romanian monetary authorities implemented a twelfth interest rate cut as a majority of forecasters expected, reducing the main policy rate by 25 basis points to a cyclical low for the move of 5.5%.  The prior two 25-bp cuts were announced in November and January.  There were also five reductions totaling 225 basis points in 2009 […] More

A Second Romanian Interest Rate Cut

January 5, 2012

The National Bank of Romania Board members have sliced the monetary policy reference rate to 5.75% from 6.0% but left reserve requirements unchanged.  This second reduction following a similar 25-basis point drop on November 2, 2011 has been justified as a prudent response to lower CPI inflation and negative implications for growth and financial market […] More

Romanian Monetary Policy Eased

November 2, 2011

Amid Europe’s faltering economic prognosis, a few central banks that had made post-Great Recession rate hikes have cut them, and many other central banks have paused.  The National Bank of Romania’s reference rate since May 2010 of 6.25% had constituted the cyclical low, and it is being lowered further now, breaking a string of eleven […] More

Romanian Central Bank Rate Left at 6.25%

September 29, 2011

The National Bank of Romania decided again to retain all monetary policy settings as they were.  This has been the approach of other east European central banks during the euro debt crisis, and in Romania’s case, the benchmark 6.25% interest rate has been at that level since a cut of 25 basis points in May […] More