The policy rate was maintained at 13.5% per annum. Annual headline inflation was 10.5% in August and had been flat for three months.
Lower fruit and vegetable prices reduced inflation by about 1 percentage point during the year. Household and business inflation expectations were in the 12–13% range in August. The current-account deficit was expected to narrow on an improving trade balance and higher remittances.
The pause after July's rate cut showed that an automatic easing cycle had not begun, with policy still linked to demand, the currency market and external balances.
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