Central Bank Watch

Central Bank of Iceland

May 16, 2018

Iceland’s Monetary Policy Committee agreed to leave its 7-day term deposit rate at 4.25%. It’s been at that level since a 25-basis point cut last October versus 5.0% at the end of 2016 and 5.75% at the end of 2015. According to a released statement, the monetary stance is tight and appropriately so in order […] More

Bank of Thailand’s Policy Rate Left Unchanged at 1.50%

May 16, 2018

A released statement┬áby the Monetary Policy Committee defends the appropriateness of an accommodative policy stance. Although the economy continues to gain traction, external risks persist. A positive output gap is diminishing, but it will be some time before sub-target inflation rises to its desired level. Core inflation is rising only slowly. Officials promise to monitor […] More

Central Bank of Sri Lanka

May 11, 2018

The Standing Lending Facility Rate had been reduced 25 basis points in April to 8.5%, but today’s policy review held that rate as well as the 7.25% Standing Deposit Rate steady this time, declaring the current stance “suitable” in a released statement . The goal is for inflation to stabilize in the mid-single digits, that […] More

Central Reserve Bank of Peru

May 10, 2018

Peru’s policy interest rate, which underwent six 25-basis point cuts from May 2017 to March 2018, was kept steady after this month’s monetary policy review. While inflation rose in April, it reached only 0.5%, half of the target floor. According to a released statement, “the Board considers that it is appropriate to maintain an expansionary […] More

Bangko Sentral ng Pilipinas

May 10, 2018

Among today’s many central bank reviews of monetary policy, the one in The Philippines proved to be the meeting that resulted in an actual change in policy rates, as the overnight reverse repo, the overnight lending, and the overnight deposit rates were raised by 25 basis to 3.25%, 3.75%, and 2.75%. A new forecast unveiled […] More

Bank Negara Malaysia

May 10, 2018

Malaysia’s overnight policy rate was kept steady by the Monetary Policy Committee at 3.25%, its level since a 25-basis point rise in January, which had been the first change since a cut in July 2016 and the first increase since July 2014. According to a released statement, continuing expansion is projected in both exports and […] More

National Bank of Serbia

May 10, 2018

Serbian monetary officials already had cut their policy interest rate by 50 basis points this year via two 25-bp moves in March and April. The half-percentage point reduction this year matched the total annual declines engineered in both 2016 and 2017 and followed a combined 500 bps in 2014-15 and 275 bps in the final […] More

Bank of England

May 10, 2018

The latest Monetary Policy Committee meeting ended without any change in the 0.5% Base Rate or in the Bank of England’s GBP 10 billion of corporate bond purchases and GBP 435 billion ceiling on gilt purchases. The released statement explaining this decision was accompanied by a new quarterly Inflation Report. After the MPC last reviewed […] More

Reserve Bank of New Zealand

May 10, 2018

A more dovish than expected statement released after New Zealand’s official cash rate (OCR) was kept at 1.75% predicts that “a considerable period of time” will pass before the OCR is raised and even asserts that, “The direction of our next move is equally balanced, up or down. Only time and events will tell.” Seven […] More

National Bank of Romania

May 7, 2018

Romania’s central bank Board hike the monetary policy rate by 25 basis points today to 2.50%. This action followed an initial 25-bp increase done in January. These two moves reverse half the total one percentage point rate reduction that occurred previously during the first five months of 2015. In a released statement, the move is […] More