The Central Bank of Honduras left its monetary policy rate unchanged at 5.75 percent at its 9 August 2019 meeting. Policymakers noted that the annual inflation rate declined to 4.69 percent in July from 4.80 percent in June, falling for the second month to stand now above the upper limit of the target range (4 percent +/- 1 percent).The Committee underscored that domestic economic growth decelerated in the last few months. On the inflation front, they expect the inflation rate to converge to target by the end of 2020. Interest Rate in Honduras averaged 6.11 percent from 2005 until 2019, reaching an all time high of 9 percent in July of 2008 and a record low of 3.50 percent in June of 2009.
Interest Rate in Honduras is expected to be 5.75 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Honduras to stand at 5.50 in 12 months time. In the long-term, the Honduras Interest Rate is projected to trend around 5.75 percent in 2020, according to our econometric models.