Peru Holds Rates Steady, Markets Brace for Stability

Peru’s central bank left its benchmark interest rate unchanged at 4.25%, matching the previous level of 4.25%. The decision signals policy stability, with no change in the cost of borrowing versus the prior meeting.

The unchanged rate also aligned exactly with analyst expectations of 4.25%, limiting surprise-driven volatility in local markets. Interest-rate sensitive sectors such as financials and real estate are likely to see a neutral to mildly supportive reaction, as stable policy underpins funding and credit conditions. The broader equity market response should remain modest, with the impact centered on short-term sentiment rather than a shift in longer-term policy expectations.