Uzbekistan’s central bank keeps policy rate unchanged at 17%

A common view exhibits the Central Financial institution headquarters in Tashkent, Uzbekistan September 4, 2017. REUTERS/Mukhammadsharif Mamatkulov

TASHKENT, April 21 (Reuters) – Uzbekistan’s central financial institution saved its coverage fee unchanged at 17.0% on Thursday.

The complete impact of final month’s hike was but to present itself and subsequently it needed to take care of financial situations unchanged, the financial institution stated in a press release.

It hiked the speed by 300 foundation factors in March, one among a number of ex-Soviet Central Asian statesto tighten financial coverage in response to turmoil on Russian monetary markets.

It stated remittances from Uzbek employees overseas – most in Russia – bounced again in April after falling sharply in March as home demand for overseas forex fell.

The financial institution additionally stated it now noticed full yr financial progress at 3.5-4.5%, down from 5.5-6.5% beforehand, and inflation at 12-14% as a substitute of the 8-9% forecast earlier than the struggle in Ukraine.

Gross home product grew 5.8% within the first quarter, whereas annual inflation accelerated to 10.5% in March.

Reporting by Mukhammadsharif Mamatkulov
Writing by Olzhas Auyezov
Enhancing by Raissa Kasolowsky and John Stonestreet

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