Persistent inflation will cause Banrepública to raise its interest rate by one percentage point, warns Asobancaria
Portafolio Journalist 03.30.2026 10:14 Updated: 03.30.2026 10:58
TL;DR
- Banco de la República's board will meet on March 31st.
- Market consensus anticipates a 100 basis point increase in the intervention interest rate.
- The policy rate is expected to reach 11.25%.
- Reasons for the hike include inflation above 5%, minimum wage increases, de-anchored expectations, and climate phenomena affecting food prices.
- Fiscal pressures and international factors also contribute to upward risks.
- The rate increase is intended to control inflation during a period of uncertainty.