At the September 25 2018 sitting, the CB Board decided to leave the refinancing rate unchanged at 6.0%.

0.6% inflation was registered in August 2018 against 0.4% deflation in the same month of the previous year, with the 12-month inflation rising to 3.3% at the end of the month. The CB Board notes that both general and normal inflation were within the CB's predictive indexes and estimated that the 12-month inflation in the coming months will still be kept at a slightly lower level.

The trends of global economic growth were in line with the expectations, and the weaker inflation in the international markets of basic commodities was recorded. At the same time, the CB Board considers that, despite the gradual tightening of the financing conditions in the international capital markets, its impact on the volatility of the financial markets of developing countries has somewhat weakened.

The Council notes that in 2018, According to the results of the first half of the year, the economic growth exceeded expectations by 8.3%, and in January-August the economic activity index was 7.7%, mainly due to the high growth of the services sector. At the same time, it is estimated that the impact of the restrained fiscal policy ongoing in the third quarter is partially offset by aggregate demand for private investments.

Taking into account the aforementioned developments, the CB Board considers it appropriate to keep promoting monetary conditions and keep the current refinancing rate unchanged.

At the same time, in view of predictable macroeconomic developments, the Board considers it important to maintain the monetary-crediting environment in the light of its gradual neutralization. As a result, inflation is expected to be at a slightly lower level than the target, stabilizing the forecast horizons around the target index- 4%.

In case of risk of deviation from the prospects of economic development and inflation forecast, the Central Bank will clarify the direction of monetary policy, ensuring price stability.

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