OREANDA-NEWS. On 19 August 2008 was announced, that the National Bank of Belarus (NBB) plans to increase its refinancing rate to 10.5% from 10.25% currently.

The move will raise deposit rates to encourage savings in the national currency. The NBB plans to keep interest rate at levels that would promote retail and corporate deposits with domestic banks.

Higher deposits will expand the resource base of domestic banks and facilitate banks’ efforts to meet the demand for banking services. Belarus’ refinancing rate will go up to 11%-14% by year-end 2008 (with Belarus’ Economy Ministry’s inflation forecast for this year standing at 14%), according to the new version of the draft Monetary Guidelines for 2009.