BISHKEK, Oct. 27 (Xinhua) -- The Board of the National Bank of Kyrgyzstan has decided to keep its policy rate unchanged at 12 percent, the bank's press service announced in a statement on Tuesday.
According to the press service, price growth in the country moderated over the past month. Annual inflation stood at 10.8 percent as of Oct. 16, down from 12.2 percent in September, while cumulative inflation since the beginning of the year reached 8.5 percent.
Inflation in Kyrgyzstan continued to be influenced by external factors, including fluctuations in global food and commodity prices amid the ongoing conflict in the Middle East. The Kyrgyz economy continues to demonstrate strong growth, with real GDP expanding by 10.8 percent during the first nine months, the statement said.
Economic growth is supported by robust investment activity, primarily in the construction sector, as well as an expansion in domestic consumption fueled by rising real household incomes. Tourism activity and the hosting of major international events in the country have also provided additional impetus to economic growth, the statement added.
Given prevailing external inflationary pressures globally and regionally, the bank decided to maintain the policy rate to bring the country's inflation rate within a target range of 5 percent to 7 percent over the medium term, according to the statement. ■
