No interest rate cuts soon despite inflation drop
Monday, June 26, 2023 | 260 Views |
The central bank raised interest rates three times last year, by a collective 151 basis points as it fought escalating inflation which peaked at 14-year highs in August. However, since then, inflation has been falling – largely due to lower fuel prices and base effects – and in May, dropped to a two-year low at 5.7 percent.
The BoB last week said it expects inflation to remain within the three to six percent objective range going into the medium term. The central bank had previously expected inflation to revert on a sustained basis to the objective range from the second quarter of 2024.
The Ministry of Agriculture, local producers, retailers, and industry associations must work together to overcome the obstacles hindering vegetable production and distribution.This collaborative approach is essential to improve the availability, quality, and affordability of vegetables in the market.Firstly, the Ministry of Agriculture should provide support and guidance to local farmers to enhance their productivity and efficiency. This could...