Central bank key rate has been held at 4-4.5% for a long time

AKIPRESS.COM - The National Bank takes measures using its instruments to reduce inflationary pressure by tightening its monetary policy, said the official representative of the National Bank of the Kyrgyz Republic Aida Karabaeva.
The key rate has been set at 4-4.5% for a long time and last December the central bank raised it to 5%, then to 5.5% in February 2021 and to 6.5% in April, Karabaeva said.
She explained that the key rate is the rate at which the National Bank lends money to commercial banks.
"The higher the key rate, the more expensive bank loans are to the people. We encourage the people to save more. Interest rates on deposits go up and people have to save more," said Karabaeva.