Central bank interest rate raised to 1.875%
Taiwan’s central bank has raised its key interest rates by 12.5 basis points. The move comes after the bank held its quarterly policymaking meeting.
It is the fifth consecutive quarter the central bank has raised interest rates, as it continues efforts to fight inflation. The latest rate hike means the bank's discount rate will rise to 1.875% - and that's the highest level in eight years.
The rate on accommodations with collateral will increase to 2.25%, while the rate on accommodations without collateral increases to 4.125%. The rise is effective from today. The central bank has now raised its key interest rates by a total of 75 basis points since March of last year.