Tunisia’s central bank holds key rate unchanged at 4.25 percent in March

TUNIS, Tunisia, Capital Markets in Africa  — Tunisia’s central bank kept its key interest rate unchanged at 4.25 percent, the bank said on Thursday.

The bank last cut its main interest rate in October, from 4.75 percent, in a bid to boost economic growth as inflation fell. The inflation rate was 4.9 percent in 2015, down from 5.5 percent in 2014.

The central bank said tourism revenue in first two months in 2016 fell by 54 percent to 182 million dinars ($90.21 million) compared with the same period in 2015, after two major attacks killed dozens of foreigners last year.

Foreign currency reserves totaled 12.65 billion dinars ($6.27 billion) by the end of February, the equivalent of 116 days of imports, the bank said in statement. That was up from 14.10 billion dinars ($6.99 billion) a year ago.

Tunisia’s annual inflation rate fell in February to 3.3 percent from 3.5 percent in January, the bank added.

Source: Reuters African Online Report Business News