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Malawi central bank keeps policy rate at 26%

BY Reuters | ECONOMIC | 11/08/24 03:28 AM EST

JOHANNESBURG, Nov 8 (Reuters) - Malawi's central bank said on Friday that its Monetary Policy Committee (MPC) had decided to keep its policy rate unchanged at 26.0%.

"The MPC noted that while inflation is expected to ease in 2025, there are still risks that could disrupt this outlook. In particular, the rapid growth in money supply is a policy concern," the central bank said in a statement.

It said the domestic economy was expected to grow 2.3% this year, constrained by the impact of El Nino weather conditions on agricultural production and continued shortages of foreign exchange. Next year growth is projected to pick up to 4.3%.

(Reporting by Alexander Winning Editing by Tomasz Janowski and Christina Fincher)

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