Central Reserve Bank of Peru

Central Reserve Bank of Peru

September 11, 2015

With higher food costs, a depreciation exchange rate, and upwardly drifting expected inflation lifting actual CPI inflation in Peru, the central bank raised its key interest rate to 3.50% from 3.25%.  This monetary policy tightening broke a streak of seven meetings without a policy change and constitutes the first interest rate hike since May 2011.  […] More

Central Reserve Bank of Peru

July 10, 2015

Peru’s central bank Board kept its interest rate benchmark at 3.25%, which lies below the level of inflation even though inflation accelerated from 3.0% in April to 3.54% in June and despite an uptick also in expected inflation that was observed recently.  Four reductions of 25 basis points in the interest rate were engineered in […] More

Central Reserve Bank of Peru

June 11, 2015

Peru’s central bank interest rate, 3.25% since a 25-basis point cut last January, was kept unchanged at the June monthly policy meeting.  Earlier cuts of that size were implemented in November 2013 and twice during the third quarter of last year.  Officials can’t afford to cut the interest rate further at this time because of […] More

Central Reserve Bank of Peru

April 10, 2015

Peru’s monetary policy interest rate had been cut by 25 basis points to 3.25% in January, and reserve requirements were reduced by 50 basis points each at the January, February and March meetings of the central bank Board.  At April’s meeting, the key interest rate, which had also been cut by 25 bps each in […] More

Central Reserve Bank of Peru

March 13, 2015

Peru’s central bank interest rate was left unchanged at 3.25% for a second straight month.  Four prior cuts, each of 25 basis points, were implemented in November 2013, July and September of last year, and January 2015.  However, bank reserve requirements were reduced at the March 2015 meeting to 8.5% from 9.0%, matching the size […] More

Central Reserve Bank of Peru

February 13, 2015

After a 25-basis point interest rate cut at the prior monthly policy meeting in January to 3.25%, Peruvian monetary officials asserted that “this interest rate reduction does not imply successive interest rate cuts,” and they have made good on that assertion for at least one subsequent meeting.  Peru’s central bank had also implemented 25-basis point […] More

Central Reserve Bank of Peru: Surprise Rate Cut

January 15, 2015

Peru’s central bank became the latest central bank to react to the disinflationary implications of plunging world oil prices.  The monetary policy rate was sliced to 3.25% from 3.5%, the third such reduction since July and the fourth since November 2013.  A 4.25% level had been maintained from May 2011 until November 2013.  Previous rate […] More

Peruvian Central Bank Rate Left at 3.5%

December 12, 2014

The last of many central bank policy announcements on Thursday confirmed that the Central Reserve Bank of Peru left its benchmark interest rate at 3.5% as most analysts were expecting.  The policy interest rate had previously been cut three times by 25 basis points each at meetings held in November 2013 and July and September […] More

Central Reserve Bank of Peru: A Continuing Bias Toward Accommodation

November 14, 2014

After having left Peru’s policy interest rate unchanged for a second straight meeting at 3.5% but cutting reserve requirements by another 0.5 percentage points to 10.0%, officials released a statement that emphasized the weakness of Peru’s economic cycle, the well-anchoring of expected inflation around the 2% target midpoint, mixed global economic signals and “increased volatility […] More

Central Reserve Bank of Peru Leaves Key Interest Rate Benchmark at 3.5%

October 9, 2014

There had already been three Peruvian central bank cuts since November 2013, most recently at the previous meeting in September.  Each reduction was a quarter of a percentage point.  While not cutting again this month, a released statement from the central bank promised to “implement additional monetary easing measures if it is necessary” and did […] More