Economy October 1, 2022 | 9:04 am

Buy car in DR

The Central Bank raises its interest rate 25 points and takes it from 8 % to 8.25 %

Hector Valdez Albizu. external

Santo Domingo, DR
The Central Bank (BCRD), at its September 2022 policy meeting, decided last night to increase its monetary policy interest rate (TPM) by 25 basis points, from 8.00 % to 8.25 % per annum.

Thus, the rate on the standing liquidity expansion facility (1-day Repos) goes from 8.50 % to 8.75 % p.a. and the rate on interest-bearing deposits (Overnight) from 7.50 % to 7.75 % p.a.

“This decision is based on a thorough evaluation of the recent behavior of the economy, especially inflationary pressures,” says the monetary entity.

With regard to external factors, there has recently been a moderation in commodity prices, particularly oil and food; as well as in container shipping costs, which have gone from a peak of about US$20,000 per container from ports on the Asian continent in 2021 to a global average of about US$4,000 per container at present.

Inflation falls

The monthly variation of the consumer price index (CPI) stood at 0.21% during August 2022, the lowest in the last 27 months, says the BCRD.

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