May 2006 Financial News

Repo rate goes to seven percent

May 24, 2006

THE Central Bank yesterday announced that it had increased its repo rate from 6.75 percent to seven percent in light of continued inflation challenges, strong demand stimulus in the economy and a relatively narrow spread between domestic and US interest rates.

In a statement yesterday, the bank said information from the Central Statistical office showed that headline inflation (fuelled by rising food prices), had increased from 6.6 percent in March to 6.9 percent in April. The bank also said that while core inflation remains under control, it increased from 2.7 percent in April 2005 to 3.1 percent this month.

Newsday
Wednesday, 24th May, 2006
http://www.newsday.co.tt/business/0,37922.html