The NBU Reduces Required Reserve Rate For Customer Accounts.

Starting from May 10, 2006 the National Bank (NBU) will decrease the rate of reserves made by banks in customers’ current accounts from 8% to 6% and deposit accounts from 6% to 4%. Concorde Capital: The National Bank is loosening its monetary policy after 1Q06 money supply growth slowed substantially to 0.6% YTD compared to 11.4% in 1Q05. The current “non-inflationary” rate of monetary expansion allows the NBU to urge economic growth by supporting the growth of further lending.