The Bank of England has raised its key lending rate for the third time in three months.
The new increase of 0.25% brings the interest rate to 0.75%, i.e. to pre-pandemic levels. [THE MOVE WAS DICTATED BY THE ATTEMPT TO TAME INFLATION, WHICH IS NOW EXPECTED TO REACH AS HIGH AS 8% BY THE END OF THE SECOND QUARTER. ALREADY INFLATION HAS HIT A THREE-DECADE HIGH OF 5.5%.
Two years ago, the central bank's monetary committee cut the interest rate to an all-time low of 0.1% due to economic pressures from the pandemic. [THIS IS THE FIRST TIME THAT THREE CONSECUTIVE INCREASES HAVE BEEN DECIDED SINCE 1997.
It should be noted that in the minutes of the meeting on the new rate hike, the Bank of England stresses that it condemns the unprovoked Russian invasion of Ukraine. Add
(CNA)
CNA/Athanasios Gavos
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