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Paraguay Joins Other LatAm CB's By Cutting Policy Rate

LATAM
  • The BCP made its first move in three years by cutting the policy rate to 8.25% from 8.5%. This comes against the monetary authority survey, which showed analysts expecting the benchmark rate to remain unchanged at 8.5%.
  • International risks that could affect the convergence of inflation with their 4% target range — within two percentage points — had diminished since July, policymakers said in a statement.
  • The country's inflation rate slowed to 3.5% in July, from 4.2% the previous month.

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