The Board of the National Bank (BNR) of Romania decided on Friday to keep the monetary policy rate at 7 percent per annum.
The central bank also kept the lending (Lombard) facility and deposit facility rates at 8 percent and 6 percent, respectively, it said in a press release following a board meeting.
This decision came after the key interest rate has remained unchanged since January 2023, when the BNR increased it to 7 percent per annum from 6.75 percent.
The annual inflation rate in Romania dropped to 6.72 percent in November from 8.83 percent in September. According to the bank’s forecast, annual inflation is expected to rise in the first month of the current year before gradually declining.
The central bank aims to achieve this by anchoring inflation expectations over the medium term, fostering sustainable economic growth.
The current macroeconomic policy mix and the implementation of structural reforms, coupled with the utilization of European Union funds to enhance long-term growth potential, are deemed crucial for maintaining a stable macroeconomic framework.
“The BNR closely monitors developments in the domestic and international environment and will continue to use the tools at its disposal in order to achieve the fundamental objective of price stability in the medium term,” the institution said. ■