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MNI Colombia Central Bank Review - July 2024: Debate Over Easing Pace In Focus

MNI Colombia Central Bank Review - July 2024

MNI Colombia Central Bank Review - July 2024

Executive Summary

  • The Colombian central bank decided to cut the repo rate by 50bp to 10.75% at its July meeting. The decision was split, as expected, with two members of the committee voting for a 75bp move once again.
  • The outcome was in line with market expectations, and the still cautious statement suggests that the central bank has not committed to stepping up the easing pace at this juncture.
  • Incoming inflation data will play a key role in determining if it accelerates the pace of rate cuts to 75bp, which some analysts see happening in September.

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