Taiwan central bank seen holding fire after back to back rate cuts: poll
[TAIPEI] Taiwan's central bank will likely keep its benchmark interest unchanged when it meets for its quarterly policy meeting on Thursday, after cutting rates four times in a row to support the economy, a Reuters poll showed.
The median forecast of 15 economists surveyed was for the largely-symbolic discount rate - the rate at which the central bank lends to financial institutions mainly for short term purposes - to stay at 1.375 per cent.
Nine economists expected the central bank to keep the policy rate unchanged, five forecast a cut and one called for a hike.
If the central bank stays on hold, it would snap a rate-cut cycle that began a year ago. The key rate has been chopped four times, or at each quarterly meeting since Sept 2015, to revive flagging growth.
Recent improvements in Taiwan's manufacturing and export-related activity as well as mild inflationary pressures have provided leeway for the central bank to stay its hand, economists say.
REUTERS
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
G7 pledges swift aid for Ukraine, seeks to calm Middle East
H5N1 strain of bird flu found in milk: WHO
China moves to boost foreign investment in domestic tech companies
Xi orders China’s biggest military reorganisation since 2015
Warner Bros CEO earned US$49.7 million in strike-impacted year
Teheran signals no retaliation against Israel after drones attack Iran