Peru Interest Rate

Peru’s central bank left its benchmark interest rate on hold at 4.75% in April 2025, marking the third consecutive month without a change. Policymakers emphasized that any future adjustments will be guided by incoming data on inflation and its underlying drivers. In March, headline inflation eased to 1.3%, while core inflation fell to 1.9%, aligning closely with the midpoint of the central bank’s target range. Although domestic economic indicators pointed to a gradual recovery, global outlooks have deteriorated amid rising trade tensions—particularly in the United States—fueling uncertainty and market volatility. Against this backdrop, the BCRP reiterated its commitment to maintaining price stability and signaled a data-dependent approach moving forward. It also established specific rates for local currency operations, including a 2.75% annual rate for overnight deposits.