National Bank of Belarus lowers refinancing rate again

The decision was made after the meeting of the National Bank Board and studying the updated forecast of economic development. The financial situation in the country is stable. The reduction of the rate will have a positive impact on investment activity. Loans are getting cheaper, while the trust in the Belarusian ruble is growing. The loan rate will drop to 9 percent per annum. The low refinancing rate indicates that the economy feels confident. The inflation for 4 months in Belarus is slightly higher than In the context of the pandemic, there is a demand for long-term storage and essential commodities. Economists carefully studied the situation, made their calculations, and voiced the forecast: it's a temporary phenomenon. Global business recovery is expected to start at the end of the year and continue in 2021. It is expected that at the beginning of next year the annual price growth rate will not exceed 5%. The real exchange rate of the Belarusian ruble will remain close to its equilibrium level. One of the main challenges facing an export-oriented country is the availability of credit resources for industrial enterprises. Sooner or later, the world will emerge from the pandemic. And the reduction of the refinancing rate will allow the Belarusian business to recover more quickly and return to the big economic game.