National Bank of Ukraine

Trend Change in National Bank of Ukraine’s Policy Rate

October 26, 2017

Ukraine’s main central bank interest rate had been cut from 30% in August 2015 to 12.5% after a final cut made in May of this year, but officials at the latest policy review concluded that deterioration in actual inflation and price expectations now necessitated a full percentage point rate hike to 13.5%. CPI inflation was […] More

National Bank of Ukraine

September 14, 2017

From August 2015 through May of this year, a nine-step series of rate reductions slashed Ukraine’s policy interest rate from 30% to 12.5%. That level now lies below headline CPI inflation of 16.2%, which lately has crept higher. Core inflation also has climbed, but expected inflation has stayed pretty stable, helped by a firmer hryvnia. […] More

National Bank of Ukraine

August 3, 2017

From 30% two years ago, Ukraine’s key interest rate was reduced in a series of cuts by more than half to 14% in October 2016. It stayed at that level for a half year but was reduced 100 basis points this past April and a further 50 bps in May. The latest policy review, like […] More

National Bank of Ukraine

March 2, 2017

Ukraine’s key policy interest rate will remain at 14.0%. Monetary officials released a statement after making that decision that concedes that risks of greater inflation have become greater since their previous policy review on January 26, which also did not change the rate. Inflation accelerated to 12.6% in January and likely will climb further in February. […] More

National Bank of Ukraine

January 26, 2017

The Ukrainian central bank interest rate was left unchanged at 14%. The same action was taken at the prior policy meeting in early December. A sharp decline of CPI inflation from 43.3% in 2015 to 12.4% last year had enabled officials to lower the interest rate from 30% in at the start of August 2015 […] More

National Bank of Ukraine

December 8, 2016

Ukraine’s central bank interest rate had been ratcheted up to as high as 30% last year to counter exchange rate depreciation and the inflation such causes. Once stabilization had been secured, such was slashed by 3 percentage points (ppts), 5 ppts and 4 ppts in August and September 2015, and May of this year. Four […] More

National Bank of Ukraine

October 27, 2016

Ukraine’s key interest rate was cut by another full percentage point to 14.0%, bringing the cumulative drop since May to 800 basis points. If economic developments continue to evolve as monetary officials expect, more reductions will follow, according to a released statement.  Most importantly, total and core CPI inflation have been diminishing. Total inflation last […] More

National Bank of Ukraine

September 15, 2016

Citing the continuing “alleviation” of risks to price stability, Ukraine monetary officials cut their policy interest rate for the fourth time since May and the sixth time in thirteen months. The new policy rate of 15.0% is only half as much as the 30% level prior to a 300-basis point reduction in August 2015. Today’s […] More

National Bank of Ukraine

June 23, 2016

Ukraine’s central bank interest rate has been reduced by a further 150 basis points, bringing the cumulative decline to 13.5 percentage points from 30% prior to mid-August 2015.  According to a statement, an appreciating hryvnia moderate domestic demand have played an important role in cutting expected inflation and actual inflation to 7.5%, which is within […] More

Fourth Ukraine Central Bank Interest Rate Cut in Nine Months

May 26, 2016

The National Bank of Ukraine Board announced a one percentage point reduction in its key interest rate to 18%, which was smaller than cuts of 3 percentage points (ppts) in August 2015, 5 ppts in September 2015, and 3 ppts in April 2016.  A statement explaining today’s decision speaks of continuing disinflation due to the […] More