Chile's Central Bank Lowers Interest Rate by 25 Basis Points

Chile's central bank reduced its benchmark interest rate by 25 basis points to 5.5% on Tuesday. The decision, made unanimously, lowers the rate by 575 basis points from a peak of 11.25% in July 2023, aligning with market expectations.

On Tuesday, Chile's central bank announced a reduction in its benchmark interest rate by 25 basis points, bringing it down to 5.5% in a move that was widely anticipated by market analysts.

The unanimous decision taken by the central bank's board lowers the rate by a total of 575 basis points from its high of 11.25% observed in July 2023.

The rate cut is seen as a response to current economic conditions and aims at stimulating financial activities in the country.

(With inputs from agencies.)