ALMATY, Nov. 28 (Xinhua) -- The Monetary Policy Committee of the National Bank of Kazakhstan announced on Friday the decision to keep the base rate at 18 percent, saying that inflationary pressures remain elevated and will require tight monetary policy for some time.
The bank said the decision was based on updated macroeconomic forecasts and the current balance of inflation risks, with a corridor of plus or minus 1 percentage point.
In October, annual inflation stood at 12.6 percent, down from 12.9 percent in September. The bank noted that these persistent inflationary pressures are driven by expanding demand that continues to outpace domestic supply capacity.
The regulator also revised its inflation forecasts for 2025 and 2026. It is now expected to range from 12 to 13 percent in 2025 and from 9.5 to 12.5 percent in 2026. By the end of 2027, inflation is projected to slow to between 5.5 and 7.5 percent.
The forecast for Kazakhstan's economic growth in 2025 has been upgraded to 6-6.5 percent. The 2026 outlook has been lowered to 3.5-4.5 percent. In 2027, the country's economic growth is expected to range between 4 and 5 percent. ■