Argentina plans new rate hike, more FX intervention as inflation soars
Argentina's government announced a package of measures to rein in soaring inflation and support the wobbly peso currency on Sunday, including rate adjustments, more interventions in the exchange market and expedited deals with creditors, Azernews reports citing Reuters.
The measures include an interest rate hike by the central bank, the economy ministry said in a statement. The ministry did not elaborate, but an official source told Reuters the hike would be 600 basis points, bringing the rate up to 97%.
The rate hike will take effect Monday, the source added.
The South American nation is battling to bring down inflation that hit 109% on an annual basis in April. It also faces tumbling confidence in the peso and dwindling foreign currency reserves that are threatening the government's finances.
---
Follow us on Twitter @AzerNewsAz
Here we are to serve you with news right now. It does not cost much, but worth your attention.
Choose to support open, independent, quality journalism and subscribe on a monthly basis.
By subscribing to our online newspaper, you can have full digital access to all news, analysis, and much more.
You can also follow AzerNEWS on Twitter @AzerNewsAz or Facebook @AzerNewsNewspaper
Thank you!