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Paraguay's central bank eases benchmark rate to 4.75%

Banco Central del Paraguay's monetary operations executive committee, CEOMA, on March 22 decided unanimously to lower its benchmark interest rate by 25 basis points to 4.75% as it flagged ongoing risks for an economic slowdown.

In a statement announcing the rate decision, the committee highlighted a more conservative stance by the U.S. Federal Reserve in recent months, as well as a complex economic situation in neighboring Argentina, and a slower than expected recovery in Brazil.

"On the international stage, while the major economies continue to expand, the risk of a downturn for growth perspectives remains," policy makers said. They also noted that domestic growth also was likely to slow for several sectors.