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The National Bank of Moldova kept its base interest rate at 6.5% during its March meeting, emphasizing that the current policy stance remains suitable for bringing inflation back within a ±1.5 percentage point range of the 5.0% target over the medium term. Policymakers highlighted the ongoing disinflationary process and the continued impact of recently implemented restrictive monetary measures, which are still working through the economy. In February 2025, the country’s annual inflation rate eased to 8.6% from 9.1% in January, in line with forecasts from the latest Inflation Report, largely due to a smaller-than-expected impact of compensations on electricity tariffs. However, policymakers noted that uncertainties persist, particularly regarding agricultural production, utility tariff adjustments, the need for adequate fiscal stimulus to boost economic activity, external financial assistance, and regional tensions, including the impact of mutual sanctions and moderate regional demand.