Peru's central bank left its interest rate unchanged at 2.75%, saying inflation is expected to remain within the target range in October and converge toward 2.0% in the short term.

Banco Central de Reserva del Perú said the year-over-year rate of inflation increased to 1.28% in September from 1.07% in August.

The bank said economic activity indicators suggest a slower recovery and most indicators of business expectations remain on the optimistic side.