The central bank, BNR, also left unchanged the lending facility rate and deposit facility rate at 8.00% and 6.00% per annum, respectively, it said in a statement on Monday following a board meeting on monetary policy.
The existing ratios of minimum reserve requirements for both Romanian leu- and foreign currency-denominated liabilities of banks will also remain unchanged.
The decisions aim to bring the annual inflation rate back in line with the 2.5% ±1 percentage point flat target on a lasting basis by anchoring inflation expectations over the medium term in a manner conducive to achieving sustainable economic growth, BNR said.
Romania's annual inflation rate fell to 6.61% in March 2024 from 7.23% a month earlier, mainly thanks to the slowdown in the rise of food prices.
The BNR's current assessment sees inflation easing over the following eight quarters at a much slower pace compared to 2023 and on a somewhat higher path in the short run than what the previous projection had shown, the BNR said. The decrease in inflation will continue to be driven by supply-side factors, mainly disinflationary base effects and downward adjustments in commodity prices, whose disinflationary action will however weaken constantly and more noticeably over the short term than anticipated earlier.
The BNR last changed its policy rate on January 11, 2023, increasing it from 6.75% to 7%. The central bank will hold its next monetary policy meeting on July 5.