Skopje, 14 October 2022 (MIA) - The monetary policy conducted by the National Bank is adequate to current conditions and challenges. Through a gradual increase in interest rates, the National Bank contributes to the stabilization of inflation expectations, taking care not to have significant effects on economic growth and to reduce the negative impact of the health and energy crisis, read the conclusions of the European Commission’s 2022 Progress Report on North Macedonia. Also, EC report notes positive assessments of the monetary policy conducted by the National Bank. The EC estimates that during the COVID-19 induced crisis, the central bank managed to maintain the financial stability and provided significant credit support for the citizens and the companies. After the beginning of the price pressures, it took appropriate measures and policies in order to be able to adequately respond to them. The EC also positively assesses the progress in strengthening the institutional framework for maintaining financial stability, through the newly adopted Law on Financial Stability. At the same time, the regulation adopted by the central bank, through which selling of non-performing claims, is considered an important step. This is very important if we take into account the increasing risks in the economy due to the war in Ukraine, which may also cause a certain increase in non-performing placements. In this regard, the decision taken by the National Bank to increase the countercyclical capital buffer is considered adequate. Since the National Bank is part of the national statistical system, the report also notes that the central bank still consistently adheres to the European Statistics Code of Practice. For more information, please find the link to the Report: https://neighbourhood-enlargement.ec.europa.eu/north-macedonia-report-2022_en