Colombia Central Bank Ups Rate to 8.75%

Colombia’s Central Bank raised its benchmark interest rate on Friday by a quarter of a percentage point to 8.75%, from 8.5%, in line with market expectations. Continuing inflationary pressures meant analysts had predicted further tightening after the Bank raised rates by the same amount last month. Annual inflation was 6.26% as at the end of April, well above the central bank’s target this year of between 3.5% and 4.5%.