The National Bank of Kyrgyzstan announced its decision to keep the discount rate (key rate) steady at 9.00%. The decision, made during the board meeting on January 27, 2025, will take effect on January 28, 2025.
The inflation rate in the Kyrgyz Republic remains within the medium-term target range of 5–7%. Annual inflation was recorded at 6.3% in December 2024, rising slightly to 6.5% by January 17, 2025. This moderate trend is influenced by increased domestic demand and external economic conditions.
The country's economy grew by 9.0% in 2024, driven by robust activity in the services and construction sectors. This growth has been supported by rising real incomes, increased remittances, and an expansion in consumer lending, fueling domestic demand.
The National Bank's monetary policies have ensured stability in the money and currency markets, mitigating external inflationary pressures. A high level of excess liquidity in the banking system is being managed through monetary instruments, while commercial banks continue to expand their lending activities and resource bases, contributing to overall financial stability.
Despite positive domestic trends, the external economic environment remains uncertain due to ongoing geopolitical tensions. Global food prices have risen in recent months, and international financial markets remain volatile. Inflationary pressures in key trading partner countries also pose risks to the Kyrgyz economy.
The National Bank emphasized that its decision to maintain the key rate reflects the current macroeconomic landscape and aims to sustain price stability and macroeconomic sustainability. While domestic inflation is under control, external factors remain a concern.
The next meeting of the National Bank’s Board to review the key rate is scheduled for February 24, 2025.
Earlier, Uzbekistan opted to maintain its policy rate at 13.5% per annum during the Central Bank's meeting on January 23, 2025. This rate has remained steady since July 25, 2024, when the Central Bank reduced it by 0.5 percentage points, bringing it down from 14% to 13.5%.
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