The National Bank of Ukraine (NBU) has decided to reduce the discount rate from 7.5% to 7% per annum from June 10, 2013, the bank's press service has reported.

"I am confident that the decision to reduce the discount rate will be positively seen by the market and will stimulate an increase in lending. Together with other events by the National Bank and the government, this will increase economic activity in the state and contribute to the stability of the banking system," Governor of the National Bank of Ukraine Ihor Sorkin said.

Such a step by the National Bank of Ukraine is stipulated by the desire to consolidate positive trends in the monetary sphere and give an impetus to the intensification of economic development processes. In particular, consumer price inflation in the country in 2013 remains at a level close to zero, market expectations are improving, the cost of funds is falling, and the deposit base of the banking system, especially at the expense of funds in local currency, is steadily growing.

The National Bank of Ukraine last changed the discount rate on March 21, 2012 - from 7.75% to 7.5% per annum. Since May 2012, the cost of main refinancing operations, particularly weekly tenders for up to 14 days, has been determined at the level of the discount rate.

Ukrinform