Economy The Bank of England did not raise the key interest rate against expectations

English the central bank did not raise the key interest rate on Thursday, although the country’s inflation is on the rise and is expected to sway to 5 per cent next spring. The news agency Reuters and The Guardian, among others, report the matter.

The key interest rate is currently at an all-time low of 0.1%.

Central Bank the decision was a shock to investors who were confident that interest rates would rise. With the news, the pound sterling experienced its sharpest decline since the beginning of the pandemic. Yields on British two-year bonds also fell the most since the day after the Brexit vote in 2016.

However, the central bank hinted that it would raise the key interest rate in the coming months if the economy developed to the expected pattern.

The Bank’s Monetary Policy Committee justified its decision on the grounds that it still wanted to monitor employment developments before raising the key interest rate.