Argentina hikes interest rates to 118%, ARS loses 18% against USD

MG News | August 14, 2023 at 08:38 PM GMT+05:00

0:00

August 14, 2023 (MLN): Central Bank of the Argentine Republic (BCRA) decided to raise the monetary policy rate by 21% to 118%, the latest data issued by the BCRA showed today.

The Argentine Pesos (ARS) plunged by around 18% in just today's session against the US Dollar (current rate $1 = 350 ARS).

The annual nominal interest rate of the 28-day Liquidity Letters (Leliq) are now 118% (209% in effective annual terms, TEA).

The minimum guaranteed rates on fixed terms will be redefined based on the new level of the policy rate.

The monetary authority deems it convenient to readjust the interest rate level of the monetary regulation instruments, in line with the recalibration of the official exchange rate level.

This, in order to anchor exchange expectations and minimize the degree of transfer to prices, tend towards positive real returns on investments in local currency and favor the accumulation of international reserves.

The BCRA stated that it will continue to monitor the evolution of the general price level, the dynamics of the financial and exchange markets, and of the monetary aggregates in order to calibrate its rate policy.

Copyright Mettis Link News

Related News

Name	Price/Vol	%Chg/NChg
KSE100	171,960.65 392.43M	0.97% 1646.79
ALLSHR	103,659.28 947.75M	0.62% 643.69
KSE30	52,557.52 150.39M	1.36% 703.46
KMI30	245,023.89 112.16M	1.14% 2764.20
KMIALLSHR	67,064.35 524.22M	0.51% 340.18
BKTi	47,590.36 57.61M	1.56% 728.93
OGTi	33,487.27 7.87M	-0.38% -127.99

Symbol	Bid/Ask	High/Low

Name	Last	High/Low	Chg/%Chg
BITCOIN FUTURES	87,315.00	87,650.00 85,135.00	2495.00 2.94%
BRENT CRUDE	59.71	59.80 59.58	-0.11 -0.18%
RICHARDS BAY COAL MONTHLY	91.00	0.00 0.00	2.25 2.54%
ROTTERDAM COAL MONTHLY	97.50	97.50 97.50	0.75 0.78%
USD RBD PALM OLEIN	1,016.00	1,016.00 1,016.00	0.00 0.00%
CRUDE OIL - WTI	55.88	55.99 55.75	-0.12 -0.21%
SUGAR #11 WORLD	14.47	14.80 14.38	-0.29 -1.96%