Botswana’s central bank kept its monetary policy rate unchanged at 1.90% on Thursday, marking the sixth consecutive monetary policy meeting with no changes to the lending rate as it seeks to support a weaker domestic economy.
Inflation in the Southern African country fell to 1.1% year-on-year in July, from 2.0% in June, remaining well below the central bank’s preferred range of 3% to 6%.
In an effort to boost economic competitiveness, the government announced last month that it would allow its pula currency to depreciate by 2.76% over the next year, at a faster pace than the previously announced 1.51% in December.
