The Central Bank of Argentina lowered the floor imposed on its key leliq rate to 58% from 63% on December 19.

The board argued “the magnitude of the reference interest rate is at an inappropriate level and potentially inconsistent with the prospects of nominal evolution of the relevant economic variables.” The central bank pointed out “as the leliq is a very short-term financial instrument, it is determined by the high levels of inflation of the current situation”.

Leliqs are seven-day