The benchmark interest rate was cut by half a percentage point to 11.5%, as had been widely anticipated. The bank's board was split 4-3, with those who dissented favouring a 25 basis point reduction.
Inflation has been held below the bank's target for 2007 of 4.5%, while the real has more than doubled since October 2002. However,
- Making the rules and breaking the mould (Allan Meltzer: 1928–2017)
- BoE economists criticise DSGE inflation modelling
- Indonesian deputy Perry on revolutionising monetary and financial policy
- Commission should have power to order CCPs to relocate to EU – Cœuré
- Indonesian banks will switch to reserves averaging in July