Romania Set to Keep Rates at 6.5%, EU’s Highest, on Political Turmoil

Romania's central bank is poised to maintain its benchmark interest rate at 6.5%, the highest in the EU, amid ongoing political instability that is casting a shadow over economic and inflation forecasts. This decision underscores the bank's commitment to controlling inflation despite the risks posed by the political turmoil. The prolonged crisis is causing uncertainty, making it crucial for the bank to keep borrowing costs high to ensure economic stability. This move reflects the bank's focus on safeguarding the nation's financial health amidst domestic challenges.