The first South American central bank to lower interest rates this year pledges to maintain a restrictive monetary policy, with only modest additional cuts in 2023, to keep consumer price increases and inflation expectations on a downward path.
Uruguay’s central bank cut its benchmark rate by a quarter point to 11.25% in April and left it unchanged in May. The central bank’s most recent forecast shows the rate gradually falling through 2023, with cuts accelerating next year to leave it around 8%.
Read More : First South American Central Bank to Cut Rates Urges Caution in Decision-Making