Angola National Bank keeps base interest rate at 10.25 pct

27 June 2012

The National Bank of Angola (BNA) has kept the base interest rate in the country unchanged at 10.25 percent per year, as well as on the permanent liquidity and absorption facilities at 11.75 percent and 1.50 percent per year, respectively, the central bank said in a statement issued Tuesday.

According to the statement from the BNA the decision was made during an ordinary session of the BNA Monetary Policy Committee held Monday in Luanda to assess the development of the main macroeconomic indicators, development of the monetary and foreign exchange markets, as well as prospects for economic growth.

The Committee also re-stated its recommendation for economic agents to take the Luibor (Luanda Interbank Offered Rate) as the benchmark for loan negotiation and its recommendation to use Angola’s currency, the kwanza, in transactions within the Angolan market.

The statement added that in May 2012 the rate of inflation was 0.65 percent and inflation over the previous 12 months was 10.51 percent, which was lower than inflation in the same period of 2011, of 14.54 percent. (macauhub)