Thursday, March 6, 2008

Bank keeps interest rates on hold


The Bank of England's rate-setting Monetary Policy Committee (MPC) has decided to keep interest rates on hold at 5.25%.


The decision was in line with analyst and market expectations.


Analysts have highlighted that the Bank faces the threat of a slowing economy at a time when inflationary pressures are rising.

In February, the bank cut rates by a quarter of a percentage point from 5.5%, amid signs of a slowdown




So holding of interest rates can be a good thing. They are definitely not increasing which is a good thing.


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