7 May, Minsk /BELTA correspondent/. The National Bank of Belarus will reduce the refinancing rate by 0.5 percentage points to 12% per annum from May 12. This was reported to a BELTA correspondent by the information department of the country's main banking institution. As explained at the National Bank, the current economic situation in the country, low intensity of inflationary processes, continued growth of citizens' ruble term deposits in banks, and a stable situation in the cash foreign exchange market allow for the continuation of a policy aimed at increasing the accessibility of banks' credit resources. A reduction in the overall level of interest rates in the economy will contribute to the expansion of enterprises' financial capabilities for production modernization and increased product competitiveness, thereby creating favorable conditions for accelerating economic growth. At the same time, attractive interest rates on citizens' ruble deposits in banks will be maintained, exceeding the yield on foreign currency deposits. It is recalled that on April 19 of the current year, the National Bank's refinancing rate was reduced from 13% to 12.5% per annum. The main directions of Belarus's monetary policy for 2010 envisage a reduction in the refinancing rate by the end of the year to 9-12% per annum, and loan rates to 12-15% per annum. -0-

BELTA