NBU Governor Andriy Pyshnyy announced the decision at a briefing on Thursday, according to an Ukrinform correspondent. "The Board of the National Bank of Ukraine decided to raise the key policy rate to 16% in view of persistent underlying price pressures, second-round effects from supply shocks, and rising medium-term inflationary risks," he said. According to Pyshnyy, the decision will support the attractiveness of hryvnia-denominated assets and the resilience of the foreign exchange market, helping keep inflation expectations under control and return inflation to a sustained downward path toward the 5% target over the policy horizon. At the same time, the NBU is ready to respond flexibly to further changes in the balance of risks.
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