The central bank of Kenya kept its benchmark interest rate unchanged at 10 percent for the eight consecutive meeting on January 23rd 2018, as widely expected.
Policymakers said the increased optimism for growth prospects in the economy and that inflation expectations are well anchored within the Government target range.
The Committee noted that there was some room for accommodative monetary policy in the near term, as well as the risk of perverse outcomes. It concluded that there was need to further monitor and assess the impact of its policy actions.
“The MPC continues to monitor the impact of the interest rate caps on the effective transmission of monetary policy. The CBK will continue to closely monitor developments in the global and domestic economy, and stands ready to take additional measures as necessary.” it said in a statement.
