Central Bank of Chile keep rate on lowest point since 2009Christian Fernsby ▼ | October 19, 2020
The board of the Central Bank of Chile unanimously decided to keep the monetary policy rate unchanged on 0.50%, its lowest point since 2009.
Chile Central Bank of Chile
Contained inflationary pressures in Q3 and a patchy economic recovery following the blow dealt by the coronavirus pandemic earlier in the year were behind the Central Bank’s decision to maintain its ultra-loose monetary policy stance.
On top of that, the Bank’s continuation of its unconventional asset purchase program should help the recovery ahead.
Looking ahead, the Bank reiterated its intention to maintain the policy rate at 0.50% for much of the two-year monetary policy horizon and confirmed that it stood ready to intensify monetary stimulus with additional tools if necessary. ■