Central Bank of Uzbekistan plans to reduce interest rate

Finance Materials 10 June 2020 10:57 (UTC +04:00)
Central Bank of Uzbekistan plans to reduce interest rate

BAKU, Azerbaijan, June 10

By Ilkin Seyfaddini - Trend:

The Central Bank of Uzbekistan is going to reduce the interest rate for the second time in a row, Uzbek Economic Development and Poverty Reduction Minister Jamshid Kuchkarov told Ozbekiston 24 TV channel, Trend reports.

Kuchkarov said that President of Uzbekistan, Shavkat Mirziyoyev has set a goal to increase the country's GDP by two percent or more.

According to him, industry growth is estimated at 3.5 percent. This will be achieved by restoring enterprises that have suspended operations because of quarantine, and they will be provided with working capital, and in the coming days the Central Bank will reduce the basic rate.

"The Central Bank Council will make a decision in the next few days. The president approved of the Central Bank's proposal. We will see a slight reduction of interest rates," said Kuchkarov.

The next meeting of the Central Bank is scheduled for June 11.

Previously, the Central Bank of Uzbekistan cut the interest rate by one percentage point and set it at 15 percent per annum.

The change of the rate was adopted taking into account a downward revision of inflation forecast amid a slowdown in economic activity amid falling external and domestic demand.


Follow author on Twitter: @seyfaddini