The Council of the National Bank of Ukraine (NBU) has affirmed the inflation target of 6% plus minus 2 percentage points (p.p.) for December 2018 and 5% plus minus 1 p.p. for December 2019 and set quarterly benchmarks.

NBU Council Head Bohdan Danylyshyn wrote on his Facebook page that these inflation targets are envisaged in the key principles of the monetary and credit policy for 2018 and medium-term outlook. They were approved by the NBU Council.

He also said that according to the document, the inflation target of 5% plus minus 1 p.p. is set for December 2020 and later.

"The NBU Council points out the need in gradual reduction of inflation to the medium-term target of 5%. The achievement of the inflation targets will help to ensure the projected pace of real GDP growth, which in line with the forecast of the government and the National Bank should accelerate to 3% in 2018 and to 4% from 2019," Danylyshyn said.

He said that the implementation of the key principles will promote the further reduction of inflation, increase of financial stability and acceleration of the country's economic growth. The NBU will take into account the link between inflation and exchange rate fluctuations, as well as the impact of the exchange rate on financial stability.