Ukraine's National Bank keeps key policy rate unchanged at 15.5% as expected
The Board of the National Bank of Ukraine (NBU) has decided to keep its key policy rate at 15.5%. This will support the sustainability of the FX market and keep inflation expectations in check.
"If threats to the sustainable decline in inflation toward the 5% target increase, the NBU will keep its key policy rate unchanged longer than envisaged by the April macroeconomic forecast," the central bank said in its Thursday press release.
A return to the easing of interest rate policy is only possible after the price surge has peaked and risks of inflation becoming stuck in the high levels have abated. At the same time, the NBU will be ready to take additional measures if it becomes necessary to tighten monetary conditions.
Along with leaving the key policy rate unchanged, all other rates on the main instruments of the National Bank's monetary policy have also been kept upchanged.
Market participants on the eve of the rate decision were also almost unanimous in their forecasts that the NBU would keep it at the current level.
In mid-April, the National Bank also kept the rate at 15.5%, and before that it had increased the rate three times since mid-December 2024. Even earlier, it kept it at 13% for six months, to which it was reduced from 25% since July 2023 in seven stages.
The results of the discussion of the members of the Monetary Policy Committee, which preceded the adoption of this decision by the National Bank Board, will be made public on June 16, 2025.
The next meeting of the National Bank Board on monetary policy will be held on July 24, 2025, in accordance with the approved and published schedule. At it, unlike today's meeting, the macroeconomic forecast will also be revised.