Peru’s Central Bank Delivers Smaller-Than-Forecast Rate Hike
- Hike of 25 basis points forecast by only two economists
- Inflation eased for two straight months but remains above goal
Peru’s inflation rate has fallen for two consecutive months, to 8.4% in August.
Photographer: Miguel Yovera/BloombergThis article is for subscribers only.
Peru’s central bank delivered a smaller-than-expected increase to its benchmark interest rate after inflation eased for a second consecutive months.
The central bank’s board led by Julio Velarde increased borrowing costs by a quarter of a percentage point to 6.75%, as predicted by only two of eight economists surveyed by Bloomberg. The other six expected a bigger boost of 50 basis points.