FX.co ★ North Macedonia Maintains Key Interest Rate at 4%

The National Bank of the Republic of North Macedonia has decided to keep its key policy rate unchanged at 4%, maintaining a cautious monetary stance aimed at containing inflation. Average inflation in 2025 stood at 4.1%, slightly above its historical trend, so price stability remains a central priority.

Risks to the inflation outlook persist, driven by global uncertainty, higher commodity prices, and solid domestic demand. At the same time, economic activity continues to be robust: GDP grew by 3.8% in the final quarter of 2025, with a modest acceleration expected, supported by ongoing infrastructure investments and robust bank lending.

Foreign exchange reserves have reached €5.6 billion, a level assessed as adequate to safeguard exchange rate stability. The continued growth of bank deposits and lending points to a sound and resilient banking sector. Nonetheless, external risks—particularly global trade tensions and geopolitical developments—remain a source of vulnerability for the economy.