Mongolia's central bank cuts benchmark interest rate by 2 pct amid pandemic

Source: Xinhua| 2020-11-23 17:14:44|Editor: huaxia

ULAN BATOR, Nov. 23 (Xinhua) -- The monetary policy council of Mongolia's central bank announced Monday it has decided to cut the benchmark interest rate from 8 percent to 6 percent.

"The decision is aimed at reducing the negative effects of the COVID-19 epidemic on the country's economy and the financial sector, as well as the financial burden on citizens, businesses and financial institutions," Byadran Lkhagvasuren, governor of the Bank of Mongolia, said at a press conference.

Mongolia's gross domestic product decreased by 7.3 percent year-on-year in the first three quarters of 2020 due to restrictive measures to contain the spread of COVID-19.

The Asian country entered a state of public disaster preparedness and imposed a nationwide 24-hour lockdown from 6 a.m. local time on Nov. 12 (2200 GMT, Nov. 11) until Dec. 1 after reporting its first locally transmitted COVID-19 case.

The first local COVID-19 patient was identified as a woman, whose husband, a transport driver, returned from Russia and tested positive for the virus.

As of Monday morning, the country has confirmed 640 COVID-19 cases, including 214 locally transmitted ones. Enditem

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