Romania’s central bank decided on Wednesday to keep its main interest rate steady at 6.50%, matching market expectations. The move comes as the country continues to deal with growing inflation pressures.
The rise in prices has been fueled by the recent removal of an energy price cap and higher taxes across the economy. Both measures have pushed up costs for consumers and businesses, making inflation harder to control.
Back in August, the central bank sharply raised its inflation outlook. It nearly doubled its forecast for December, expecting prices to rise by 8.8% instead of the earlier estimate of 4.6%.
By keeping the rate unchanged, policymakers are trying to strike a balance, they want to contain inflation without putting too much strain on economic growth. The bank’s stance shows caution as it continues to monitor how these policy changes affect everyday prices in Romania.
