Members of the board of the central bank Wednesday said they are unsettled by the request of President Juan Manuel Santos to limit the rise in the interest rate.
Monday the board of the central bank raised the benchmark interest rate by 25 basis points to 4%. President Santos asked the central bank to think twice about further interest rate increases. Santos made this “respectful request” to avoid running the risk of slowing economic growth a little.
Some members of the board of Colombia’s central bank said that the raise in the interest cannot be stopped. Board members said that this kind of request bolsters the resolve of the producers associations to continue questioning the technical decisions of the board.
They said it most likely that the interest rates will continue to rise but everything depends on the future behaviour of the economy