The Central Bank of Uruguay raised its benchmark policy rate by 75bps to 6.5% on its January 5th meeting, the highest since the return of the monetary policy rate in 2020, and anticipated further gradual rate hikes through 2022. It was the fourth consecutive hike, as the central bank aims to lower the country's inflation to the target of 3%-7%. While consumer inflation in Uruguay hit an eight-month high of 7.96% in December, the central bank has lowered the 24-month inflation projections to 6.55% from 6.97% expecting the higher borrowing costs will calm down the prices. At the same time, the monetary policy committee noted that the economic growth accelerated in the third quarter of 2021 and should continue to grow in the coming months, while unemployment has already recovered to pre-pandemic levels.
. source: Banco Central del Uruguay
Interest Rate in Uruguay averaged 7.20 percent from 2007 until 2022, reaching an all time high of 10 percent in January of 2009 and a record low of 4.50 percent in September of 2020. This page provides - Uruguay Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Uruguay Monetary Policy Rate - data, historical chart, forecasts and calendar of releases - was last updated on January of 2022.
Interest Rate in Uruguay is expected to be 7.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Uruguay Monetary Policy Rate is projected to trend around 6.25 percent in 2023 and 5.00 percent in 2024, according to our econometric models.