Chile Bucks Latin America Trend in Holding Key Rate at 5%

Chile’s central bank kept benchmark borrowing costs unchanged today for the 14th consecutive month as faster-than-expected economic growth prevents policy makers from joining Brazil, Mexico and Colombia in cutting rates.

The bank board, led by the institution’s President Rodrigo Vergara, held the benchmark rate at 5 percent, as forecast by all 20 analysts surveyed by Bloomberg. The bank last changed borrowing costs in January 2012 with a quarter-point reduction that surprised economists.