The National Bank of the Kyrgyz Republic held its key rate at 12.00%, effective August 25, 2026, citing persistent external inflation risks and strong domestic economic activity. Over the past year, the central bank raised the rate by a cumulative 275 basis points from 9.25% in August 2025 to 12.00% in February 2026 and has held it since. The central bank will continue actively managing excess banking-system liquidity, while short-term money-market rates, including the interbank benchmark interest rate, remain within the interest-rate corridor and close to the policy rate. Annual inflation reached 11.7% as of August 14, while real gross domestic product grew 11.1% in January-July, driven mainly by construction investment and domestic consumption, with rising incomes and credit supporting demand. Geopolitical tensions, including conflict in the Middle East, and volatility in global commodity and food prices continue to raise import, fuel, transport and production costs. The National Bank said maintaining tight monetary conditions should limit second-round effects and support a sustained medium-term decline in inflation, while signalling it may adjust policy if price-stability risks emerge.
2026-08-24National Bank of the Kyrgz Republic
National Bank of the Kyrgyz Republic Holds Key Rate at 12.00%
The National Bank of the Kyrgyz Republic held its key rate at 12.00% effective August 25, 2026, citing persistent external inflation risks and strong domestic activity. Annual inflation reached 11.7% as of August 14, while real gross domestic product grew 11.1% in January-July, with the Bank maintaining tight monetary conditions and signalling further action if price-stability risks emerge.