Interest rates raised for the tenth time in a row by Bank of English in the UK
The Bank of England increased the interest rates by 4 percent on Thursday, February, stating the inflation in the country had peaked.
According to a report by Reuters, this is the tenth time that the rates have been increased.
The decision to increase the interest rate was made after a vote by nine rate setters from the Bank of England, who decided 7-2 to increase it by 4 percent.
This increase is the highest interest rates have been in the UK since 2008 and is a move that had been anticipated by economists and investors.
The announcememnt to impose the hike also came a day after the U.S. fedral reserve slowed its rake hike by a quater point, while stating that further increase will be required.
As per the report, the European Central Bank is also looking to raise the rates by half a percentage point by Thursday to 2.5 percent.
A statement by officials at the Bank of England said, “its run of rate hikes going back to December 2021 were likely to have an increasing impact on the economy”, at a time when inflation is at 10 percent in the UK.
They also predict that through this move, inflation can be brought down to about 4 percent by the end of the year.
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