The National Bank announced a 25 basis point rate increase and the latest Overnight Policy Rate (OPR) is 2.00%. This is the second overnight policy rate adjustment by the National Bank after a gap of about 2 years.
During the outbreak of the new crown in 2020, the National Bank reduced the overnight policy rate (OPR) four times in one year, that is, from 3.00% before the outbreak to a new low level of 1.75%.
The last rate increase by the National Bank was in January 2018, when it raised the rate from 3.00% to 3.25%. The National Bank implemented an overnight policy rate (OPR) of up to 3.50% prior to 2008.
Any increase or decrease in the overnight policy rate affects the lending rate, and all domestic banks follow the overnight policy rate set by the National Bank to adjust their lending rates.
Here is a look at the trend of the Overnight Policy Rate (OPR) over the years.
