Month: January 2014
8th January 2014
Romania’s central bank cut its policy rate by 25 basis points to 3.75 percent, its fifth rate cut in a row, and lowered the minimum reserve requirements on both domestic and foreign currency liabilities by banks.
In a brief statement, the National Bank of Romania said the reserve requirements on leu-denominated liabilities would be cut by 300 basis points to 12 percent while foreign currency liabilities would be cut by 200 basis points to 18 percent starting from the Jan. 24-Feb. 23 maintenance period.
Further details about the central bank’s decision would be released at a press conference later today.
Romania’s central bank cut its rate by 125 basis points in 2013, most recently in November, in response to falling inflation.
In its November inflation report, the bank revised down its forecast for end-2013 inflation to 1.8 percent from 3.1 percent, and the 2014 forecast down to 3.0 percent from 3.1 percent. The central bank bank, which targets inflation of 2.5 percent within a one percentage point band, said it expected inflation to fall below its lower bound during the first half of this year and then gradually rise.
Romania’s inflation rate eased to a new low for the year of 1.83 percent in November, down from 1.88 percent in October and a 2013-high of 6.0 percent in January. The fall in inflation was due to lower agricultural prices due to a good harvest and a cut in taxes on bread and other bakery products.
The cut in reserve requirements comes after the central bank in December released a report into the reporting of bad bank debts that showed that the proportion of non-performing bank loans was 21.7 percent at the end of October.
December 16, 2013
Country-level income closely related to Payroll to Population results
by Glenn Phelps and Steve Crabtree
WASHINGTON, D.C. — The median annual household income worldwide is $9,733, and the median per-capita household income is $2,920, according to new Gallup metrics. Vast differences between more economically developed countries and those with developing or transitional economies illustrate how dramatically spending power varies worldwide. Median per-capita incomes in the top 10 wealthiest populations are more than 50 times those in the 10 poorest populations, all of which are in sub-Saharan Africa.
Armenia Central Bank cuts Interest rate 25 bps in the last week of December 2013 : December2013Review
24th December 2013
Armenia’s central bank cut its benchmark refinancing rate by another 25 basis points to 7.75 percent and said monetary policy would be weakened further in 2014 given the external and domestic economic developments and a further reduction in inflation.
The Central Bank of Armenia (CBA) cut its rate by 50 basis points in November, reversing a rate rise in August for a net cut in rates this year of 25 points.
Armenia’s inflation rate eased to 6.6 percent in November from 7.14 percent in October, a faster decline than forecast, and the CBA said it expects inflation to reach the upper limit of the bank’s inflation target range by the end of the year.
The bank expects inflation to continue to decline in coming months and return to the bank’s 4.0 percent target within a 1.5 percentage point band.
Armenia’s Gross Domestic Product expanded by an annual rate of 1.4 percent in the third quarter, up from 0.6 percent. Last month the central bank forecast economic growth this year of 3.4-3.8 percent, down from the government’s original 6.2 percent growth forecast.
The bank’s president also announced in November that the central bank would be adopting an inflation targeting policy.