The National Bank of Ukraine has announced it will raise the key policy rate from 14.5% to 15.5% per annum, effective 7 March 2025.
For tax purposes, this impacts the late payment penalty interest, which is 120% of the National Bank rate. This change raises the penalty interest rate from 17.4% to 18.6% per annum.
These measures are designed to preserve the appeal of savings in Ukraine’s national currency, the hryvnia (UAH). They also aim to support stability in the foreign exchange market and manage inflation expectations. By doing so, inflation can be returned to a trajectory of sustained deceleration, ultimately reaching the target rate of 5%.
Earlier, the National Bank of Ukraine increased the key policy rate from 13.5% to 14.5%, effective 24 January 2025.
