Central Bank Ignores President’s Plea, Lifts Colombia Rate
- Colombia raises key rate to 7.75%, eleventh straight increase
- Decision was in line with majority of forecasts by economists
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Colombia’s central bank ignored a last minute plea by President Juan Manuel Santos and raised the benchmark interest rate for an 11th consecutive month as surging food prices pushed inflation to the fastest since 2000.
In a split decision, the seven-member board voted to raise the key rate a quarter-point to 7.75 percent, central bank Governor Jose Dario Uribe told reporters in Bogota after the meeting. The decision was forecast by 27 of 34 analysts surveyed by Bloomberg, while seven had predicted no change.