Economics
Botswana’s Central Bank Cuts Key Interest Rate to Record Low
- Monetary policy committee reduces rate to 3.75% from 4.25%
- IMF forecasts an economic contraction of 9.6% in 2020
Inflation was 1% in August, and has been below the central bank’s target of 3% to 6% for 11 months.
Photographer: Waldo Swiegers/BloombergThis article is for subscribers only.
Botswana’s central bank cut its benchmark interest rate to a record low after the biggest yet economic contraction in the second quarter.
The monetary policy committee reduced the rate to 3.75% from 4.25%, Governor Moses Pelaelo told reporters Thursday in the capital, Gaborone. That’s the first easing since a half-point reduction in April and the second cut this year.