Belarus lowers refinance rate to boost economic recovery – Eurasian bank

May 1, BPN. By lowering the refinance rate, the National Bank of Belarus aims to support economic recovery, the Eurasian Development Bank (EDB) said in its macroeconomic review on May 1.

Monetary easing occurs amid a slowdown in annual price growth, it said, pointing out annual inflation, which dropped from 11.7 percent in February to six percent in March.

EDB expects the Belarusian central bank to keep reducing the rate if there are no major shocks.

Belarus said it would lower the refinance rate to 10 percent per annum on May 2.

The interest rate on overnight loans would drop from 11.5 percent to 11 percent, and on overnight deposits from 9.5 percent to 9 percent.

In November, Alaksandr Łukašenka approved the key socio-economic development parameters, according to which the refinancing rate would be 10-11 percent in 2023.

The rate was lowered from 12 percent to 11.5 percent on January 23, to 11 percent on March 1, and to 10.5 percent on April 3.