Kyiv Business Intel

The National Bank of Ukraine held its key policy rate at 13.5% at the April 2026 Monetary Policy Committee meeting. The decision was unanimous. It marks the fourth consecutive meeting at which the rate was unchanged. The NBU last moved rates in August 2025, when it cut from 14.5% to 13.5%. The NBU's statement cited consumer price inflation tracking within its 5–9% target corridor as the primary justification for the hold. CPI recorded 6.8% year-on-year in March 2026, according to the State Statistics Service. Core inflation, which excludes energy and food prices, was 5.4%. ## Wartime fiscal context The NBU continued to flag wartime fiscal spending as an inflationary risk factor. Defense expenditure accounts for approximately 25% of consolidated budget spending. The Ministry of Finance has maintained borrowing costs for domestic government bonds above 16%, creating a two-tier interest rate environment: the NBU benchmark at 13.5% and the effective domestic sovereign rate above 16%. The NBU's inflation forecast for end-2026 is 7.3%, within the target band. The next policy meeting is scheduled for June 2026. Governor Andriy Pyshnyi said in a post-meeting press conference that a rate cut at the June meeting is possible if the inflation trajectory does not deteriorate.