The Board of Directors of the National Bank of Romania (BNR) decided on Thursday to maintain the monetary policy interest rate at 1.75 percent per annum and to maintain the existing levels of minimum reserve requirement ratios on both leu- and foreign currency-denominated liabilities of credit institutions.
The BNR board also decided to to pursue adequate liquidity management in the banking system.
The monetary policy has remained unchanged since May 2015. The BNR has analyzed and approved the Report on inflation dated August 2016. The document will be presented to the public in a press conference on 8 August 2016.
According to an analysis by Garanti Bank, BNR will maintain unchanged its monetary policy rate until next year. Specifically, according to the bank’s Quarterly Macroeconomic Report, corresponding to this year’s second quarter, the National Bank of Romania will not increase the monetary policy rate by mid-2017.
For ING EMEA, the BNR move was highly anticipated by surveys. Moreover, according to ING specialists, the CPI forecast, to be released on 8 August, will be important for the policy outlook.