The National Bank of Tajikistan (NBT) raised its refinancing rate by another 100 basis points to 13.0 percent and has now raised it 2.25 percentage points following earlier rate hikes in February and April.
NBT is one of only three central banks, along with the Kyrgyz Republic and Kazakhstan, to have raised rates in the months leading up to the COVID-19 pandemic, but then quickly switched course as the global economy practically shut down and cut its rate twice to soften the impact.
But by late January this year inflationary pressures were beginning to build and the central bank’s first move was to raise reserve requirements and then followed this up with rate hikes.
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