Kazakhstan's National Bank has decreased the base rate to 14.75%
The National Bank revealed its intention to decrease the base rate by 50 basis points to 14.75% per annum, with a corridor of +/- 1 percentage point, as announced by the bank's press service on Feb. 23.
“The slowdown in overall price growth was caused by the ongoing monetary policy, a decrease in global inflationary pressure and production costs, the gradual restoration of supply chains, government measures, and the influence of the high base effect of last year,” reads the statement.(Source:astanatimes)
The baseline scenario anticipates stable Brent oil prices at $80 per barrel until the end of 2025, supported by OPEC+ production cuts and moderate production growth from the United States.
With these factors in mind, Kazakhstan's economic growth forecast for 2024 has been adjusted to a range of 3.5-4.5%, driven by domestic demand and improving business activity.
In 2025, economic growth of 5.5-6.5% is expected, attributed to increased oil output resulting from expanded production at Tengizchevroil.
However, in 2026, a scenario involving a reduction in oil prices and current forecast assumptions could lead to GDP growth rates of 3.5-4.5%.
