CBK Keeps Policy Rate Unchanged at 7%, Maintains Accommodative Stance

The Monetary Policy Committee (MPC) will closely monitor the impact of the policy measures, as well as developments in the global and domestic economy, and stands ready to take additional measures as necessary to support the economy hit by the COVID-19 pandemic.

Patrick Njoroge Photographer: Luis Tato/Bloomberg

Central Bank of Kenya (CBK) on Wednesday decided to leave the benchmark interest rate unchanged at 7 per cent maintaining that “the current accommodative monetary policy stance remains appropriate”.

However, the Monetary Policy Committee (MPC)  will closely monitor the impact of the policy measures, as well as developments in the global and domestic economy, and stands ready to take additional measures as necessary to support the economy hit by the COVID-19 pandemic.

“The Committee noted that inflation expectations remained well anchored within the target range, and the economy continued to operate below its potential level,” Dr. Patrick Njoroge, chairman of the MPC said in an emailed statement to Khusoko.