Moldova Cuts Benchmark Rate to 5%

2025-12-11 12:17 By Dongting Liu 1 min. read

The National Bank of Moldova cut its benchmark interest rate by 100 basis points to 5.0% on December 11, 2025, marking its third rate cut this year and extending its accommodative monetary policy stance.

Annual inflation in November remained at 6.99%, above the central target of 5.0% ±1.5%, driven primarily by regulated and food prices.

Inflation is expected to return to the target range in December and remain at the lower bound through Q1 2026.

The economy continues to show positive growth, providing a supportive environment for policy easing.

Industrial production in September grew 9.0% year-on-year, while exports and imports increased 23.1% and 21.2%, respectively.

The external environment remains broadly stable, though risks persist from energy, food, and geopolitical factors.

Overall, risks to inflation are skewed toward disinflation, reinforcing the need to maintain an accommodative policy stance to achieve medium-term inflation objectives.



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Moldova Cuts Benchmark Rate to 5%
The National Bank of Moldova cut its benchmark interest rate by 100 basis points to 5.0% on December 11, 2025, marking its third rate cut this year and extending its accommodative monetary policy stance. Annual inflation in November remained at 6.99%, above the central target of 5.0% ±1.5%, driven primarily by regulated and food prices. Inflation is expected to return to the target range in December and remain at the lower bound through Q1 2026. The economy continues to show positive growth, providing a supportive environment for policy easing. Industrial production in September grew 9.0% year-on-year, while exports and imports increased 23.1% and 21.2%, respectively. The external environment remains broadly stable, though risks persist from energy, food, and geopolitical factors. Overall, risks to inflation are skewed toward disinflation, reinforcing the need to maintain an accommodative policy stance to achieve medium-term inflation objectives.
2025-12-11
Moldova Maintains Policy Rate at 6%
The National Bank of Moldova (NBM) kept its policy rate at 6% and lowered the reserve requirements for both Moldovan lei and foreign currencies. These measures aim to ease banking system liquidity, reduce lending costs, and support consumption and investment. Although annual inflation fell from 8.2% in June to 6.9% in September, it remained above the upper bound of the central bank’s 5% ±1.5 percentage point target. The NBM expected average inflation of 7.7% for 2025. It was projected to fall to 4.3% in 2026 and return to the target band in early 2026. Economic activity is rebounding, with GDP expanding 1.1% year-on-year in Q2, driven by domestic demand. Externally, the global economy remains resilient but is slowing. Geopolitical tensions, volatility in energy and commodity prices, and trade uncertainties are heightening risks for Moldova’s economic growth and inflation trajectory.
2025-11-06
Moldova Cuts Benchmark Rate to 6%
The National Bank of Moldova cut its benchmark interest rate by 25 basis points to 6.0% on September 18, continuing its monetary easing stance. The move aims to anchor inflation expectations and guide annual inflation back toward the 5.0% ±1.5% target. Inflation in August stood at 7.3%, down from 7.9% in July. Economic activity showed early signs of recovery in Q2 2025, with industrial production up 3.2% and retail and wholesale trade rising 10.1% and 6.9%, respectively. However, overall growth remains negative as exports fell 7.7% while imports surged 23.1%. The external environment remains uncertain, with persistent trade and geopolitical risks and volatile commodity and food markets. The National Bank of Moldova is supporting aggregate demand, consumption, and investment to stabilize the economy and the current account. Future policy decisions will depend on evolving domestic and international macroeconomic conditions.
2025-09-18