December 19, 2019. The Board of the BCRA reduces the floor of the interest rate on liquidity bills (LELIQs) by 5 points, from 63% to 58%.
The BCRA Board considers that the benchmark interest rate is inappropriate and potentially inconsistent with the projected nominal evolution of key economic variables for a number of reasons: the current macroeconomic situation during this period of transition; the changes that the bill brought before the National Congress will entail; a call for a social pact; and the search for a sustainable sovereign debt scheme.
Additionally, a sustainable management of national debt in pesos will surely result in a new interest rate curve in domestic currency.
Finally, as LELIQs are very short-term (seven days) financial instruments, they are affected by the current high inflation rate.