The Board of the Central Reserve Bank of Peru approved to raise the monetary policy interest rate by 25 basis points to 3.50%, which is compatible with the forecast that inflation will converge to the target range in the 2015-2016 forecast horizon.
Inflation expectations have increased, reaching levels similar to the upper rate of the inflation target range; and inflation has been affected by temporary events, such as the rise of prices of some food products and the exchange depreciation, factors that should not be extended in a general manner to the rest of prices.
According to the issuing entity, international indicators show mixed signals of global economic recovery, as well as high volatility in external financial markets and foreign exchange markets. It also informed that economic activity has been recovering gradually.
The Board of the Central Reserve Bank of Peru approved to raise the monetary policy interest rate by 25 basis points to 3.50%, which is compatible with the forecast that inflation will converge to the target range in the 2015-2016 forecast horizon.Inflation expectations have increased, reaching levels similar to the upper rate of the inflation target range; and inflation has been affected by temporary events, such as the rise of prices of some food products and the exchange depreciation, factors that should not be extended in a general manner to the rest of prices.According to the issuing entity, international indicators show mixed signals of global economic recovery, as well as high volatility in external financial markets and foreign exchange markets. It also informed that economic activity has been recovering gradually.
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