Central bank keeps interest rate unchanged

Colombia’s central bank made no change to the interest rate at its monetary policy meeting Friday.

Colombia’s central bank kept its benchmark interest rate unchanged at 3.5%, as policy makers judged that eight cuts this year to a record low are enough to fuel an economic rebound and end a bout of deflation.

The seven-member board’s unanimous decision met the expectations of 30 of 32 economists surveyed by Bloomberg. Two analysts expected a second consecutive half-point reduction.

“The board expects that the current level of the interest rate will continue to stimulate economic growth in an environment characterized by a healthy financial system,” the board chief, Jose Dario Uribe, told reporters today in Bogota.

(Bloomberg, Reuters)

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