The National Bank of the Republic of North Macedonia held its policy rate at 4.25% in September, judging the stance appropriate as inflation remained moderate but its sustained slowdown was uncertain amid energy-price pressures, domestic demand risks and high external uncertainty. After holding the rate at 4% through May, the central bank raised it by 25 basis points in June and held it in July. Existing reserve requirement and macroprudential measures will support denar stability against the euro, longer-term inflation stabilisation and tighter inflation expectations. Annual inflation rose to 2.6% in August as higher global energy prices affected domestic prices, while real gross domestic product growth accelerated to 4.3% in the second quarter and credit growth remained stronger than projected. The foreign exchange market has been stable since May, with foreign currency purchases by the central bank in July and August, while reserves remained in the safe zone and covered 4.5 months of imports. Escalating conflict in the Middle East and the war between Russia and Ukraine drove renewed increases in oil and other energy prices and disrupted supply chains. The central bank signalled a continued cautious approach and readiness to use all available instruments to preserve macroeconomic and financial stability.
2026-09-15National Bank of the Republic of North Macedonia
National Bank of the Republic of North Macedonia Holds Policy Rate at 4.25%
The National Bank of the Republic of North Macedonia held its policy rate at 4.25% in September as inflation remained moderate, although energy-price pressures, domestic demand risks and external uncertainty clouded the outlook. Annual inflation reached 2.6% in August, while second-quarter real gross domestic product growth accelerated to 4.3% and credit growth exceeded projections.