The Central Bank of Paraguay maintained its reference interest rate stable In 6%, predicting that inflation will remain within the target range until the end of the year.
The decision on rates marked 18 -month compliance with the cost of loans unchanged by 6%. The Central Bank maintains an inflation objective of 3.5% with a tolerance of more or less two percentage points.
The Central Bank “It reaffirms its commitment to price stability and will continue to carefully monitor internal and external events in order to anticipate its possible implications for the trajectory of inflation”said those responsible for monetary policy in a statement after their decision.
Analysts surveyed by the Central Bank this month expect the debt costs to remain stable this year, followed by 50 basic points cuts in 2026.
Inflation accelerated for the third consecutive month up to 4.6% in August, driven by earnings in beef prices and poultry, meals in restaurants and tourism.
Even so, long -term consumer price expectations remain anchored, and analysts expect that Inflation reaches 3.5% within the policy horizon of 18 to 24 months of the monetary authority.
