The open market operations by the National Bank of Moldova (NBM) in the first quarter of 2007 aimed at withdrawing excess liquidity in the banking system, its main purpose being to ensure the annual rate of inflation within the limit of 10 %. According to a press release from NBM, the daily balance of absorbed liquidity was almost permanently set over the level of MDL 1 bln. For these purposes, the central bank placed NBM certificates worth MDL 3.142 bln and accepted deposits from commercial banks to the value of MDL 966 mln. The total volume of sterilisation operations, which made up MDL 4.108 bln, remained at the level set in the fourth quarter of 2006, when it was of MDL 4.075 bln. The NBM certificates were issued with 14- and 28-day maturity, under the conditions of a demand of MDL 3.377 bln and a supply of MDL 3.395 bln. Deposits were accepted from banks for terms between 42 and 80 days, the supply being of MDL 1020 mln and demand of MDL 979 mln. The massive sterilisation operations contributed to reducing the combined inflation rate for the last 12 months, from 14.1% in December 2006 to 11.2% in March 2007. Later, this fact enabled the National Bank to reduce the base rate from 14.5% to 13.5% annually and, subsequently, to promote reduced interest rates while performing sterilisation operations – 13.5% and 13.25% a year.