MNB makes unexpected move: base rate trimmed by 0.25% to 7.75%
Central
Bank fools the analysts
Prior to
the Monetary Council’s rate decision last Monday, analysts were almost
unanimous in expecting that the Central Bank would not lower the base rate in
June from 8.0%. Although analysts predicted a total rate cut of around 0.75% to
1.0% in the remainder of the year, the timing of the current 0.25% cut came as
a surprise.