What is Chile's biggest interest rate hike in 20 years?

SANTIAGO, Jan 26 (Reuters) - Chile's central bank enacted its largest interest rate hike in 20 years on Wednesday, lifting the benchmark rate by a larger than expected 150 basis points to 5.5% as it seeks to rein in stubbornly high inflation. The central bank's board members voted unanimously for the move, according to a post-meeting statement.

Who decides the interest rate in Chile?

In Chile, interest rate decisions are taken by The Central Bank of Chile (Banco Central de Chile). The official interest rate is monetary policy interest rate (PDBC Pagarés Descontables del Banco Central) which is overnight interbank interest rate.

Why did Chile's Central Bank raise its benchmark interest rate?

REUTERS/Ivan Alvarado SANTIAGO, July 14 (Reuters) - Chile's central bank raised its benchmark interest rate to 0.75% from 0.5% on Wednesday, as a rapid COVID-19 vaccination program helps the world's top copper producer resume economic activity.

When will inflation rise in Chile?

In Chile, polls by the central bank of analysts and traders in recent weeks have agreed the rate was set to rise as inflation ticks upwards, but were divided on when, with analysts saying it would increase to 0.75% by August and traders saying it would increase by 25 points as early as this month.