Norway is the first issuer of key currencies to raise rates during the pandemic

The central bank of Norway raised the key rate, which was at zero level, to 0.25%, according to the regulator’s website. Norway became the first country to issue a G10 currency to raise rates since the start of the coronavirus pandemic.

The G10 group includes currencies with the highest trading volumes and liquidity. G10 currencies include US dollars, Canada, Australia and New Zealand, euros, pounds sterling, Swiss francs, Norwegian and Swedish krona, and Japanese yen.

From September 24, the rate on overnight loans in Norway will be set at 1.25%, the reserve rate at –0.75%. “Normalization of the economy means that it would be appropriate to gradually normalize the key rate”, – quoted the words of the chairman of the Central Bank of Norway Oystein Olsen on the regulator’s website. He noted that the key rate is likely to be raised again in December.

The Central Bank of Russia in 2021 for the first time during the pandemic began to raise the key rate, until October 22 it is 6.75% per annum. Similar decisions were made by the regulators of Brazil, Mexico, South Korea, the Czech Republic and Iceland.

In September, the European Central Bank (ECB) and the US Federal Reserve System (FRS) kept rates near zero. At the same time, the American regulator noted that the decision to curtail the anti-crisis program for the purchase of assets may become “justified in the near future.”

More details – in the material of “Kommersant” “The Fed slowed down”.

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