Romania's Central Banks (BNR) has opted to keep the key interest rate the same. After a meeting today (August 2 ), the BNR board announced that the monetary policy (key) rate will remain at 5.25 percent per annum.

Commentators expected the BNR to keep the interest rate the same, as the ongoing political pitched battle continues. Plans to ensure liquidity management in Romania's banking system were also announced. On reserves, the board decided to maintain current levels in both leu and foreign currency denominated reserves. Finally, the BNR board approved the annual inflation report, which will be published on August 6.

Romania's reserves fell during last month. Foreign exchange reserves were down EUR 819 million in July, to some EUR 32 billion. The gold reserves remained at 103.7 tons with a value of EUR 4.41 billion, while the international reserves on July 31, 2012 were EUR 36.55 billion compared with EUR 37.12 billion on June 30 this year.

editor@romania-insider.com