Bangladesh Bank raised its key interest rate by 50 basis points to 8.50% to combat inflation above 9%.

Bangladesh Bank raised its key interest rate by 50 basis points to 8.50% to fight inflation above 9% since last March, driven by rising energy and food costs. The government aims to bring inflation down to 6% by June; higher borrowing costs are expected to slow demand and reduce price gains. The central bank plans to maintain the policy rate corridor at 150 basis points and continue tightening measures until the inflation target is achieved.

May 08, 2024
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