The National Bank of Ukraine (NBU) may lower the key policy rate, which is currently at 6%, if the coronavirus crisis has a significant impact on the economy, and the rate of economic growth will decrease significantly, Governor of the National Bank of Ukraine (NBU) Kyrylo Shevchenko has said.
“Now we have a two-track strategy. If the coronavirus crisis has a significant impact on the economy, and we see that the rate of economic growth is significantly slowing down, the NBU may decide to further reduce the key policy rate to give the economy additional incentives to overcome difficult times,” he said in an interview with ZN.ua publication.
Shevchenko said that the aggravation of the pandemic remains the main risk for the development of the Ukrainian economy, pointing out the possibility of a lockdown.
“The biggest risk today, in our opinion, is the aggravation of the pandemic… because the way our economy develops depends on whether we expect an adaptive quarantine or lockdown,” he added.
