January 26, 2023 12:58 GMT
BanRep Decision Due Friday, Economists Split Over Rate Forecast
- The majority of surveyed analysts expect BanRep to hike the overnight lending rate by 100bps to 13.00% at the January meeting.
- A deterioration in both headline and core CPI data as well as short & medium-term inflation expectations warrant maintaining a hawkish posture at the January meeting.
- However, there remain a notable minority looking for a more moderate hike and given the most recent comments from finance minister Ocampo on not seeing the need for further tightening, particular significance is placed on Friday’s decision/statement.
- The full MNI preview with analyst views is here.