Peru holds interest rates, next move still likely to be up

Peru’s central bank left its key policy interest rate unchanged at 4.25% for the twelfth consecutive month, but with inflation still above target and the risks skewed to the upside, we expect policymakers to resume tightening policy later this year. Our forecast is for the policy interest rate to rise to 4.75% by year-end, which is significantly above consensus expectations.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.
By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.

Already a client or trialist? Log in to read this.