Sunday, 25 September, 2022
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Argentina rate hiked to 69.5pc as inflation hits 20-year high

Argentina rate hiked to 69.5pc as inflation hits 20-year high

Argentina's central bank has raised its main rate of interest to 69.5% as it tries to contain soaring inflation.

The bank put up its 28-day benchmark rate by 9.5% percentage points, its second hike in as many weeks.

It comes as new figures showed inflation in the country had hit a 20-year high of over 70%.

The numbers dashed hopes that price rises had peaked after the latest US data showed that inflation had eased.

"The rise in the policy rate will help reduce inflation expectations for the remainder of the year," the bank said in a statement.

The move came after the bank raised the rate by 8 percentage points two weeks ago and marks its eighth hike this year.

The country's inflation rate is forecast to top 90% by the end of the year.