Central Banks
Kazakhstan Extends Rate-Cut Pause as Budget Poses Inflation Risk
- Central bank holds benchmark at 14.25% for second time
- Government has been tapping oil fund to cover fiscal shortfall
Shoppers walk past stalls near the Green Bazaar in Almaty, Kazakhstan.
Photographer: Taylor Weidman/BloombergThis article is for subscribers only.
Kazakhstan extended a pause in its monetary easing cycle amid concerns that the government’s budget plans risk reigniting inflation.
The National Bank of Kazakhstan kept the benchmark at 14.25% on Friday for the second time in a row, after reducing borrowing costs at most of the other rate-setting meetings earlier this year. All seven economists surveyed by Bloomberg expected the hold.