More to come

Containing inflation remains a challenge

In line with market expectations, the Monetary Policy Committee (MPC) on Wednesday raised the policy repo rate by 35 basis points to 6.25 per cent. The standing deposit facility and the marginal standing facility rates have been adjusted accordingly to 6 per cent and 6.5 per cent, respectively. The committee has cumulatively raised the policy rate by 225 basis points so far in the current year, taking it to the highest level since February 2019. Notably, however, the policy rate is still negative in real terms and is expected to turn positive only in the fourth quarter of the current