Norway cuts key rate to 0.25%, lowest ever, to fight crisis
INTERNATIONAL – Norway’s central bank cut its benchmark interest rate to the lowest level ever and said more easing may follow, as policy makers struggle to fight a deep crisis that has already delivered a body blow to the krone.
It’s the second time Norges Bank has resorted to emergency rate cuts in response to the coronavirus pandemic, after slashing half a point off its benchmark on March 13.
“Since Norges Bank cut the policy rate last week, the situation in the Norwegian economy has continued to worsen,” the bank said on Friday. It said it “will continually consider measures to ensure that the policy rate passes through to money market rates” and that it “does not rule out a further rate cut.”
Source: iol.co.za
