If this process continues this way, in the end of the year we will have almost double-digit inflation rate. This time the Central Bank does not believe that the inflation rate will be at least close to the allowable upper limit of 5.5%. “The potential processes in the sector of agriculture are not known yet, and the developments in the international markets of food products show that the possibility of the growth of inflation risks is getting more for the coming months; the possibility of crossing the limit of the foreseen inflation level is getting higher,” writes the CB protocol on refinancing percent rate. As a tool to resist inflation the CB has decided to increase the refinancing interest rate again. However it is hard to say how effective this step will be because the merchants who sell cheese or apple in markets do not care about these rates.
