Peruvian Central Bank Hike Is the First in Over Three Years
November 13, 2026
The Central Reserve Bank of Peru late yesterday became the latest monetary authority with an increased policy interest rate. Such was increased by 25 basis points to 4.50%. The decision ended a 14-month stretch without any change in the rate and constitutes the first increase since January 2023. A campaign of 14 cuts began in September 2023 from a peak of 7.75%. To quell speculation that yesterday’s rate hike might be the start of a long and extensive uptrend, the BCRP Board’s released statement states explicitly that “this decision does not necessarily imply the beginning of a cycle of successive reference rate increases.” With total and core consumer price inflation at an above target 5.3% and 4.6%, the action is justified as a “strong supply shocks, rising inflation expectations, and robust domestic demand.”
Copyright 2026, Larry Greenberg. All rights reserved.
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