The National Bank of Kazakhstan has cut its base rate to 17% for the first time since October 2025, bringing it below 18%. The decision was made at a Monetary Policy Committee meeting on June 5, 2026.
The base rate will remain at 17% at least until the next National Bank decision scheduled for July 24, 2026.
The National Bank noted that the slowdown in inflation to 10.4% in May and an upward revision of its forecast to 9%-11% for this year, affected the decision. Household inflation expectations over the next 12 months reached 12.7%, whereas they had been above 13%-14% since mid-last year.
«At the same time, to bring inflation down to single digits this year and achieve the target in the medium term, it is necessary to maintain moderately tight monetary conditions. Further decisions will be based on incoming data on inflation, its trajectory relative to the forecast, domestic demand dynamics, fiscal developments, as well as the scale and impact of quasi-fiscal measures,» the National Bank said in a statement.
The National Bank expects inflation to fall to single-digit levels this year. This will be supported by moderately tight monetary conditions and coordinated measures with the government.
