The Banking Association within the Economic Chamber of Macedonia at its regular session on Wednesday will discuss the current situation in the country's banking sector.
National Bank Governor, Dimitar Bogov, is to attend the meeting. Both President of the Banking Association Kosta Mitrovski and Governor Bogov are expected to address the event.
Last week, Bogov warned that continuation of the political crisis could have an impact on the economy, prompting the National Bank to prepare alternative economic development scenario.
The bank predicts that extension of the crisis by year-end will reduce the growth of the Macedonian economy from the predicted 3.5 percent to 1.6 percent.
Also, the consumption and investments will be lowered, credit activity will be slowed down, while export and foreign exchange reserves will decrase.
In response to worsened expectations due to the political situation, the National Bank also increased the base interest rate from 3.25 percent to 4 percent.
Bogov believes that rising interest rates on treasury bills will certainly have effects on interest rates at banks and whether interest rates on loans will be increased will depend on the banks and their policies.