Inflation

Fund raises 2007 and 2008 growth forecast

The July update of the World Economic Outlook (WEO) published on 25 July by the International Monetary Fund (IMF) increased the Fund forecast for global economic growth for 2007 and 2008 to 5.2%, from 4.9%.

Malaysian central bank leaves key rate unchanged

The central bank of Malaysia, Bank Negara Malaysia, has left interest rates unchanged at 3.5%. The decision had been widely expected as inflation has eased substantially to 1.4% in June, after averaging 2% in the first six months of this year.

South African inflation remains well above target

Inflation in South Africa remained well above the central bank's target for inflation in June. It was the third consecutive month that inflation, as measured by the central bank's target measure CPIX index, breached the South African Reserve Bank's (SARB…

Gieve warns of losing inflation battle

John Gieve, a deputy governor at the Bank of England, has warned that the Monetary Policy Committee (MPC) could lose the battle against inflation if it took a more gradual approach to raising interest rates.

Nepal's cb outlines policy strategy

The Nepal Rastra Bank, the country's central bank, has published details of its policy strategy for the current fiscal year. The central bank says policy will aim to keep inflation under 5% without any change in the compulsory cash ration or the bank…

Monetary policy announcement delayed by Zimbabwe

The Reserve Bank of Zimbabwe has announced that it is indefinitely postponing its mid-year monetary policy statement, originally due next week. The central bank said it needed more time to analyse the implications of price controls imposed by the…

Sri Lanka's monetary policy review

The Central Bank of Sri Lanka's tight monetary policy has been vindicated as inflation decelerated to 13%, although rises in administrative prices meant there was a risk this could be reversed.

China's economy not overheating - official

Yao Jingyuan, the chief economist of China's National Bureau of Statistics, says the country's economy is not overheating. Yoa says economic efficiency is improving and "the economic structure is being optimised."

Gono questions Mugabe's fuel plan

Zimbabwe central bank governor, Gideon Gono, has warned the government of Robert Mugabe, the country's president, that its plan to ban private fuel purchases in foreign currency could provide a further drag on the world's fastest shrinking economy.

Mixed message from Bernanke

Testimony today from Ben Bernanke, the chairman of the Federal Reserve, before the House of Representatives Committee on Financial Services gave a somewhat mixed message as he predicted that while he expects economic growth to pick up slightly next year…

BoE minutes show rate rise split

The Bank of England's Monetary Policy Committee (MPC) voted 6 to 3 to raise interest rates this month, according to the minutes of the July meeting published today. Kate Barker and Paul Tucker voted with the governor, Mervyn King, in favour of a rise of…

Hungary's Simor questions Maastricht criteria

Andras Simor, the president of Hungary's central bank, told reporters in Bucharest on 17 July that the Maastricht criteria for the adoption of the euro "might not be as appropriate for emerging countries as for the more developed ones."

Inflation surprise lifts New Zealand dollar

New Zealand's benchmark interest rate is widely expected to be raised by a quarter of a percentage point to a record level of 8.25% next week, after a report published today revealed that inflation has risen faster than the Reserve Bank anticipated. The…

Zimbabwe to jettison release of inflation data

Recent media reports have highlighted the state of chaos in the management of the Zimbabwean economy, with central bank governor, Gideon Gono, seen as fighting a losing battle again the country's president, Robert Mugabe.

Chile announces first rate rise in a year

The Central Bank of Chile raised interest rates for the first time in a year and hinted that there was more to come. In a widely anticipated move, the central bank's five-strong board raised rates 25 basis points to 5.25%.

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