Bangladesh Hikes Repo Rate by 50 Basis Points to Rein in Inflation
TEHRAN (ANA)- The central bank of Bangladesh raised the policy rate, also known as the repo rate, by 50 basis points, to bring inflation to its comfort zone.
The new rate will be 7.75 percent, effective.
The repo rate is the rate at which the central bank of a country lends money to commercial banks in the event of any shortfall of funds.
This was the eighth straight rate hike in the past 18 months as consumer prices have remained at an elevated level.
Bangladesh's average inflation reportedly rose 9.93 percent in October, way above the central bank's target of 6 percent for the current fiscal year from July 2023 to June 2024.
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