The Central Bank says it has maintained the repo rate at 3.50%.

The repo rate is the interest rate at which the Central Bank lends money to commercial banks.

In a statement, the Central Bank noted a number of local and international developments, including the threat of tariff wars, the IMF’s world growth forecast of 3.3%, and data from the local Central Statistical Office which showed that domestic price pressures are well contained.

It adds that headline inflation rose to 0.7% in February 2025 from 0.5% in December 2024, core inflation (which excludes food prices) fell by 0.1%, while food prices rose by 3.9% in February.

Also, it says commercial banks’ excess reserves at the Central Bank averaged $4.8 billion in January, before climbing to $7.2 billion by March 14th.

Taking all these and other factors into account, the Central Bank says the decision was made to maintain the repo rate.