Colombia’s central bank board raised the benchmark interest rate by 100 basis points to 10% on Thursday, as inflationary pressures and robust domestic consumption persist and central banks across the world world increase borrowing costs.
The council was divided on the intensity of the rate hike, with six officials supporting the 100-bp hike and one voting for a milder 50-bp hike.
The bank raised its growth forecast for this year to 7.8% from 6.9% previously, but cut its GDP expansion forecast for next year to 0.7% from 1.1 %.
Eight of 17 analysts polled in a Reuters poll last week predicted the bank would raise borrowing costs by 100 basis points, while another eight expected it to rise by 150 basis points — as in previous meetings. One analyst was predicting a rise of 125 basis points.
Source: CNN Brasil
Joe Jameson, a technology journalist with over 2 years of experience, writes for top online news websites. Specializing in the field of technology, Joe provides insights into the latest advancements in the industry. Currently, he contributes to covering the world stock market.
