Rates Up On Overheating Fears

September 2006
Emerging Europe Monitor: Central Europe & Baltic States;Sep2006, Vol. 13 Issue 9, p11
Country Report
Country Report
This article reports on the decision of the Bank of Latvia to increase interest rates in July 2006. Some factors that prompted the central bank to make the decision are indicated, including high inflation. The impact of the interest rate hike on bank lending rates is stated. In addition, this article forecasts that the hike will not be enough to restore macroeconomic balance.


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