The National Bank of the Republic of Macedonia (NBRM) informed that it will maintain the same interest rate, considering that the currency market has been stable since the last week of May and doesn't require intervention from the Bank.
The NBRM Committee on Operative Monetary Politics has, never the less, pointed out there remains uncertainty related with the political crisis in Macedonia.
"Our tightening of monetary policy at the beginning of May has been, so far, sufficient response to the pressures on the currency market and the bank's deposit base, which were caused by domestic, noneconomic factors. In the past period, there are noticeable signs of stabilization in business confidence and the estimates of economic fundamentals remain positive", NBRM informed.
Macedonia faced a brief period of pressure on the denar and an increase in deposit withdrawals, due to the political crisis.
After several weeks, banks and NBRM informed that these pressures have ended and the situation has stabilized. NBRM also informs that economic data points to further growth, which was at 2 percent in the first quarter of 2016. Positive developments are noted across the economic sectors, albeit at a slower pace compared to the high growth rate in the past period.
"High frequency data for April largely points out that the economy maintains its positive pace. Still, this is based on a small pool of available data, and the domestic non-economic factors related with the political developments continue to increase uncertainty and affect expectations of economic activity in the second quarter", NBRM adds in its press release.