Monetary Policy Week in Review - 7 May 2011
The week ending the 7th of May saw continued emerging market monetary policy tightening, with developed market central banks holding off from further tightening. Of the central banks that made decisions on monetary policy settings this week, those that increased were: India +50bps to 7.25%, Philippines +25bps to 4.50%, and Malaysia +25bps to 3.00%. Meanwhile those that held rates were: Australia 4.75%, Romania 6.25%, United Kingdom 0.50%, European Union 1.25%, and the Czech Republic 0.75%. In terms of other policy tools Malaysia also increased its required reserve ratio +100bps to 3.00%, meanwhile Angola reduced its required reserves by -500 basis points to 20%. Overall there were no major surprises, but India did increase by 50bps where as the market was expecting 25bps.
Full Story: http://www.centralbanknews.info/2011/05/monetary-policy-week-in-review-1-may.html