Saturday, 25 March 2017- Follows US rate hike and stubbornly-high private sector credit
- Says “precautionary measure” to contain inflation through credit expansion
- Noted improvement in fiscal operations and meeting 2016 Budget deficit target
- Expects inflation to moderate after adjustments to new taxes
- Private sector credit decelerated to 20.9% in January from 21.9% at end 2016
Bowing to expectations, the Central Bank yesterday raised policy rates in step with the US rate hike and to buttress the economy against inflation and stubbornly-high private sector credit, following lower than expected growth numbers for 2016.
CB raises rates by 25 basis points.docx by Thavam Ratna on Scribd
