OREANDA-NEWS. July 08, 2010.

The National Bank of Ukraine has lowered its discount rate by 1ppt to 8.5%, its representative announced July 7.  He also pointed out that the central bank may possibly reduce its refinancing rate right after the decrease in the discount rate.

Millennium Capital deems this news as positive for Macro, since it will help to revive the lending activity of the banks sooner. Over the last month, NBU has already lowered the discount rate twice to reduce the cost of borrowing for banks and provide them with additional liquidity.