Paraguay Leaves Key Rate at 5.5% on Stable Inflation Outlook

Paraguay’s central bank held its benchmark interest rate unchanged for a second-consecutive month at 5.5% amid a stable inflation outlook.

The decision on Tuesday was widely expected by analysts who see the central bank keeping borrowing costs steady through the end of the year. The central bank, which targets 3.5% inflation with a tolerance of plus or minus two percentage points, emphasized global risks to price stability in its post-policy meeting statement.