Monetary Policy Decision - October 2019
(WorldNews Asia)

The National Reserve Bank of Tonga`s Board of Directors at its board meeting on the 28th October 2019, approved to maintain its current monetary policy measures outlined below. This is to encourage utilization of the excess liquidity in the banking system, through further lending in order to support economic growth and strengthen the monetary policy transmission mechanism. maintain the monetary policy rate at 0% (zero interest rate policy); maintain the minimum loans/deposit ratio of 80%; maintain the Statutory Reserve Deposit ratio at 10%, and maintain the inflation reference rate at 5%. The Governor of the Reserve Bank, Sione Ngongo Kioa, reported that...