May 12 (SeeNews) - Moldova's central bank, BNM, said it has decided to maintain its policy rate at 3.25%, taking into account the domestic disinflationary trend and global economic concerns related to the outbreak of the novel coronavirus disease (COVID-19).
The decision was based on the assessment of the macroeconomic information available from the internal and external environment, as well as the assumptions related to the new forecast round and the prospects for domestic economic conditions, BNM said in a press release late on Monday.
At the same time, the current situation shows an increased degree of uncertainty regarding the scale of the crisis generated by COVID-19, the subsequent economic recovery and the changes in the global prices of raw materials and energy resources. Unfavourable weather conditions could lead to a modest harvest this year, the central bank said.
Currently, disinflationary pressures are attested and will continue to be apparent, which has determined the recent orientation of monetary policy measures towards mitigating the consequences of the pandemic and supporting aggregate demand. The current base rate is an incentive and creates conditions to support the lending process, the BNM said.
Moldova's consumer prices rose by 5.25% year-on-year in April, compared to a 5.94% increase in the previous month, the National Bureau of Statistics, BNS, said earlier.
(1 euro = 19.3335 Moldovan lei)