Governor of National Bank of Moldova says inflation follows firm downward trend

Chisinau, 15 May /MOLDPRES/ - The inflation is on a firm downward trend in Moldova, dropping from 34.6 per cent in November  2022 to 18.1 per cent in late last April. The information today was presented by Governor of the National Bank of Moldova (BNM) Octavian Armasu, who made public the inflation report.    

„This is the result of the monitory policy measures of BNM, which allowed the inflation return under control, not to increase and firmly return to target,’’ Octavian Armasu said.    

„The downward tendency of the annual rate of the consumer price index will continue on the next period, given a modest domestic demand, decrease in the tariff for electric energy, as well as of an effect of the high basic period in the last year. The tense situation in the region and the risks of its escalation, the enhanced volatility of the prices for energy resources and the way of adjusting the tariffs maintain the pronounced uncertainty related to the short-and medium-term forecast of the inflation,’’ the BNM’s Report reads.     

According to the National Bank, ‘’the annual rate of inflation will continue a quick downward tendency during this year and subsequently relatively stable till the end of the forecast period.’’ The inflation will return to the target range in the fourth quarter of 2023 and will be maintained till the end of the forecast horizon, according to BNM’s data.     

The inflation report presented by BNM today stayed at the basis of the last week decision to diminish the basic rate applied on the principal short-term monetary policy operations from 14 per cent to 10 per cent annually.