Bank of Mozambique reduces main interest rates by 0.25 percentage points

19 August 2013

The Bank of Mozambique said Monday it had reduced the interest rate on its permanent liquidity facility to 8.75 percent and the permanent deposit facility to 1.5 percent, the central bank said in a statement issued in Maputo last week.

The Monetary Policy Commission of the Bank of Mozambique also decided to keep the Required Reserve Rate unchanged at 8 percent and intervene in the interbank markets in order to ensure that the balance of the monetary base does not exceed 43.817 billion meticals at the end of August 2013.

According to the statement these decisions were made in an international climate showing some signs of recovery in developed economies such as the United States and Germany, overall recession in most Euro Zone countries and a more recent trend of slowed economic growth of emerging markets. (macauhub)