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Argentina central bank lowers Leliq rate to 36%, hikes repo rate to 30%

Credit: REUTERS/Marcos Brindicci

Argentina's central bank said on Thursday it will lower the benchmark Leliq rate to 36% from the previous level of 37%, while raising the reverse repo rate 3 points to 30%, as part of a wider push to harmonize interest rates.

Adds details from central bank statement

BUENOS AIRES, Oct 15 (Reuters) - Argentina's central bank said on Thursday it will lower the benchmark Leliq rate to 36% from the previous level of 37%, while raising the reverse repo rate 3 points to 30%, as part of a wider push to harmonize interest rates.

The bank's announcement marks its third rate change in the last 15 days, as it seeks to align various savings rates amid faltering market confidence.

The rate changes would help "maintain the positive bias in the yield on peso savings," the bank said in a statement.

Short-term Leliqs notes, auctioned to local banks in pesos and which set the benchmark rate, doubled in volume in the first seven months of the year in response to the government's increased spending to mitigate the impact of the coronavirus pandemic.

(Reporting by Adam Jourdan, writing by Cassandra Garrison, editing by Chris Reese and Tom Brown)

((Cassandra.Garrison@thomsonreuters.com; +54 11 5830 7443;))

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