FX.co ★ Peru Holds Interest Rate at 4.25%

In October 2025, the Central Reserve Bank of Peru maintained its benchmark interest rate at 4.25%, aligning with expectations. The board highlighted that September's monthly inflation was recorded at 0.01%, while core inflation, which excludes food and energy, stood at 0.06%. Annual inflation increased to 1.4%, with core inflation stable at 1.8%. Inflation expectations over the next 12 months remained at 2.2%, falling within the target range, and are anticipated to remain close to the center by the end of the year. Most economic indicators remained favorable, with activity near potential levels, despite global growth uncertainties stemming from trade restrictions. The BCRP reiterated its commitment to closely observe inflation trends, expectations, and economic activity, adjusting policies as necessary. Local currency operational rates, including overnight deposits at 2.25% and direct repos at 4.75% for the initial ten operations over the past three months, were established.