trending Market Intelligence /marketintelligence/en/news-insights/trending/53qifuudzpvby4yh5zhruw2 content
Log in to other products

Login to Market Intelligence Platform


Looking for more?

Contact Us
In This List

Chile central bank keeps key rate unchanged, hints at possible hikes

Banking Essentials Newsletter - November Edition

Online Brokerage Space Should Remain Rich Source Of M&A

University Essentials | COVID-19 Economic Outlook in Banking: Rates and Long-Term Expectations: Q&A with the Experts

Estimating Credit Losses Under COVID-19 and the Post-Crisis Recovery

Chile central bank keeps key rate unchanged, hints at possible hikes

Banco Central de Chile on Sept. 4 decided to keep the interest rate unchanged at 2.5%, though it hinted at possible rate hikes "in the coming months."

The central bank's policymakers said recent figures "point to the evolution of macroeconomic conditions that make less necessary to maintain the current monetary stimulus."

Annual CPI inflation rose to 2.7% in July from 2.5% in June. The central bank projects inflation to reach 3% over the two-year horizon.

The Chilean economy grew faster than expected in the second quarter on the strength of trade, manufacturing and some services.

"Given the medium-term implications of this scenario, the board believes that the monetary stimulus should start being gradually withdrawn in the coming months," the central bank said.

Meanwhile, policymakers also flagged risks arising from emerging markets, the further depreciation of the Chilean peso and the fall in the copper price.