The central bank of Paraguay kept its benchmark interest rate unchanged at 1.25 percent on 21 May 2020 following 100 bps on 22 April 2020. The unanimous decision kept borrowing costs to the lowest on record. Policymakers said that global economic conditions remain uncertain and any reopening of economies will need to be gradual. On the domestic side, economic activity continued to deteriorate as expected by the central bank, while inflation trended down. The Committee added that it will continue to closely monitor latest domestic and international developments, in order to evaluate the next monetary policy decisions in a timely manner.
Interest Rate in Paraguay averaged 5.68 percent from 2010 until 2020, reaching an all time high of 8.50 percent in August of 2011 and a record low of 1.25 percent in April of 2020. This page provides - Paraguay Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Paraguay Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on June of 2020. source: Banco Central del Paraguay
Interest Rate in Paraguay is expected to be 1.25 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Paraguay to stand at 1.50 in 12 months time. In the long-term, the Paraguay Interest Rate is projected to trend around 2.50 percent in 2021 and 3.00 percent in 2022, according to our econometric models.