Kazakhstan Interest Rate

The National Bank of Kazakhstan maintained its benchmark interest rate unchanged at 15.25% during its January 17, 2025 meeting. The decision comes as inflation remains elevated, driven by rising prices for services and non-food goods, alongside the depreciation of the tenge and fiscal stimulus. The country's headline inflation accelerated to 8.6% in December, within the central bank's forecast range of 8–9% for 2024. Price increases were significantly influenced by the "Tariff for Investment" program and external pressures like high global food prices and rising inflation in Russia. Household inflation expectations also increased amid greater volatility. Meanwhile, the short-term economic indicator estimates year-on-year growth of 6.2% at the end of 2024, driven by key sectors, including agriculture, construction, trade, and transportation, and supported by non-commodity investments and fiscal incentives. The next policy meeting is scheduled for March 7, 2025.