Peru | Central Bank surprises in September by delivering a 25bp policy rate hike
Published on Friday, September 11, 2015 | Updated on Friday, September 11, 2015
Peru | Central Bank surprises in September by delivering a 25bp policy rate hike
Summary
The Central Bank surprisingly raised the policy rate in September to 3,50%. The risk of inflation expectations de-anchoring explained this decision. The optimistic output growth outlook the CB foresees gave room for this hike. The same line of reasoning leads us to anticipate that there will be another 25bp rate hike in 4Q15.
Geographies
- Geography Tags
- Peru
Topics
- Topic Tags
- Macroeconomic Analysis
- Central Banks
Authors
Francisco Grippa
BBVA Research - Principal Economist