Fears that persistent inflation may place upward pressure on wages and inflation expectations and a further weakening of the króna led one member to dissent against the central bank's decision to keep rates on hold, minutes from the Central Bank of Iceland's Monetary Policy Committee meeting, published on Wednesday, said.

"In the Committee's view, the inflation outlook has deteriorated, at least in the near term, and inflation expectations have drifted upwards. Moreover, the result of the