National Bank of Romania Retains 1.75% Monetary Policy Interest Rate
May 5, 2017
In seven previous 25-basis point increments in August, September and November of 2014 and January, February, March and May of 2015, Romania’s central bank interest rate was halved to 1.75%. Monetary officials were compelled to stimulate Romanian monetary conditions forcefully because of very low inflation, which eased in the latest reported month of March due to softer energy prices. While the interest rate hasn’t been reduced further since May 2015, other actions have reinforced the very accommodative stance. The latest policy statement released today announces a reduced reserve requirement ratio of 8%, down from 10%, on the foreign currency-denominated liabilities of financial institutions and notifies that the next inflation report from the bank will be published on May 15.
Copyright 2017, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: National Bank of Romania
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