Refinancing rate could fall lower than inflation rate – economy minister

16:07, 07.07.2020 1 min read

Minister of Economic Development, Trade and Agriculture Ihor Petrashko has said that a reduction in the key policy rate of the National Bank of Ukraine (NBU) below inflation could be seen.

"I believe that it is necessary to further lower the key policy rate. I don't see a problem if our key policy rate is lower than inflation," he said in an interview with Interfax-Ukraine.

According to him, lowering the key policy rate to 6% per annum is a positive step for the economy, but belated.

"A decrease of up to 6% is a good step, but when did it happen? It needed to be done half a year ago when the trend only started. Our industry declined in the fourth quarter of last year," the minister said.