Iceland cuts by 250bp, eases capital controls

The Central Bank of Iceland's Monetary Policy Committee chopped 250 basis points off its benchmark policy rate on Thursday. The cut, which leaves the rates at 13%, comes as the central bank agreed to relax some capital controls.

The committee said that developments since the 150-basis-point cut on 8 April were consistent with earlier assessments that the conditions for continued monetary easing were already in place.

The committee, which regards the stability of the krona as the current polic