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BoE cuts rates first time since 2009

BoE cut interest rates 25 basis points to 0.25% and said it would buy 60 billion pounds ($79 billion) of government bonds

Reuters  |  London 

The Bank of England (BoE) cut interest rates on Thursday for the first time since 2009, revived its bond-buying programme and said it would take “whatever action is necessary” to achieve stability in the wake of Britain’s vote to leave the European Union. The central bank said it expected the economy to stagnate for the rest of 2016 and suffer weak growth throughout next year. It cut its main lending rate to a record low 0.25 per cent from 0.5 per cent, in line with market expectations. But it also launched two new schemes, one to buy £10 billion of high-grade ...

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First Published: Fri, August 05 2016. 00:30 IST