No Change

The Central Bank will have no choice but to hold the prime interest rate at 13% for this month.  The kronur is still too weak for further reduction and any lowering will jeopardize the IMF installment in July.  That's just the way it is when you borrow alot of money, especially money from an institution like the IMF; they can, and usually do, tell you what you may and may not do.  They call it a program for a reason, and Iceland has to stick to it, or else do without.

 

GTB


mbl.is Peningastefnunefnd í klemmu
Tilkynna um óviðeigandi tengingu við frétt

« Síðasta færsla | Næsta færsla »

Athugasemdir

1 Smámynd: Axel Þór Kolbeinsson

The IMF might give in and allow the Central Bank to lower intrest rates by .5% - 1% due to political pressure, but that's it.

I predict the intrest rates will be lowered to 12.5%

Axel Þór Kolbeinsson, 3.6.2009 kl. 15:21

3 Smámynd: Gregg Thomas Batson

You were really close! It doesn't make any sense to lower only 1%.  Nobody is happy with such a low decrease and the kronur will suffer because of it.  According to the statement from the Central Bank, the kronur is actually being supported by them.  So it is in worse shape than it appears.  I say drop the rate to 5% immediately and get it over with or don't move it at all.

GTB

Gregg Thomas Batson, 4.6.2009 kl. 13:50

4 Smámynd: Axel Þór Kolbeinsson

One thing is sure, and that is that the current monetary policy is not working.  I believe we should drop inflation targeting and adopt some kind of fixed exchange rate, even with allowable float.

Axel Þór Kolbeinsson, 4.6.2009 kl. 14:07

Bæta við athugasemd

Ekki er lengur hægt að skrifa athugasemdir við færsluna, þar sem tímamörk á athugasemdir eru liðin.

Innskráning

Ath. Vinsamlegast kveikið á Javascript til að hefja innskráningu.

Hafðu samband