Monetary Policy
Monetary Policy
Monetary Policy
Falling Oil Prices Have Changed the Rate Calculus for Central Banks Across Asia and Europe. Here Is How.
Monetary Policy
Federal Reserve Signals Higher-for-Longer Rates as Inflation Forecasts Rise
The US Federal Reserve surprised markets this week with revised inflation projections and explicit signaling of prolonged high rates. The updated Federal Reserve projections showed the median policymaker expecting modest tightening by year-end, a notable shift from March projections which had pointed to rate cuts, with nine of 18
Monetary Policy
Brazil's Central Bank Signals Caution on Rate Cuts as Inflation Surprises to Upside
Brazil's Central Bank delivered a cautious message this week, maintaining rate cuts but signaling potential pauses if inflation pressures intensify. While the central bank is still likely to continue cutting rates by 25 basis points at upcoming meetings, taking the Selic rate to 13.0% by year-end,
Monetary Policy
South Africa Raises Rates as Inflation Breaks Above Central Bank Comfort Zone
South Africa's Reserve Bank took decisive action this week, raising the repo rate from 10.25% to 10.5% in response to inflation breaching the central bank's comfort threshold. South Africa's inflation rate jumped from 3% to 4%, prompting the Monetary Policy Committee of
Monetary Policy
Zambia's Inflation Fell From 11.2% to 9.4% in One Month. A Maize Harvest Did Most of the Work.
The Bank of Zambia cut its key policy rate by 75 basis points to 13.5% on February 11, 2026, the second consecutive rate cut, after annual inflation slowed sharply from 11.2% in December 2025 to 9.4% in January 2026. The scale of that single month decline is
Monetary Policy
Mexico's Peso Gained 16% Last Year. Now the Central Bank Is Cutting Rates Anyway. Here Is the Logic.
The Mexican peso was one of the best performing currencies in the world in 2025, appreciating almost 16% against the US dollar in what analysts nicknamed the superpeso rally. That made Banco de Mexico's decision in March 2026 to resume cutting interest rates, reducing its benchmark rate by
Monetary Policy
Malaysia's Central Bank Has Held Rates at 2.75% for Almost a Year. The IMF Says That Is the Right Call.
Bank Negara Malaysia reduced its overnight policy rate to 2.75% in July 2025 and has held it steady since. That is nearly twelve months of unchanged rates in an environment where central banks across Europe, Australia, and parts of Africa have been actively moving their benchmarks in either direction,
Monetary Policy
Singapore Does Not Set Interest Rates. It Manages Its Currency Instead. Here Is Why That Decision Just Got Harder.
Most central banks around the world adjust monetary policy by raising or lowering interest rates. Singapore's Monetary Authority takes a fundamentally different approach. Instead of setting a benchmark rate, the MAS manages monetary policy by controlling the level and rate of appreciation or depreciation of the Singapore dollar
Monetary Policy
The World Is Splintering Into Trade Blocs. For Developing Countries, That Is Both an Opportunity and a Threat.
Something significant is happening to the architecture of global trade, and it is moving faster than most policymakers anticipated. What is often called deglobalisation is more accurately described as a targeted recalibration. Certain sectors, technologies, and supply chains are being reorganised around geopolitical priorities rather than cost efficiency alone. This
Monetary Policy
Nigeria's Rate Is 26.5%. South Africa Just Hiked to 7%. Why African Central Banks Are Tightening While the World Eases.
While central banks in Europe, Canada, and parts of Asia were cutting rates through 2025, most African central banks were moving in the opposite direction, raising rates sharply or holding them at levels that make borrowing painfully expensive for businesses and households. In 2026, that divergence is widening. Zimbabwe maintains
Monetary Policy
The UAE Just Launched a Digital Dirham. China Has 1.8 Billion CBDC Wallets. The Race for Digital Money Is Moving Fast.
Central bank digital currencies are no longer a future concept. In 2026, they are live infrastructure in some of the world's most significant economies, and the gap between leaders and followers is widening rapidly. The Central Bank of the UAE officially launched the Digital Dirham for retail use