Monetary Program June 2026: BCRP Maintains Reference Interest Rate at 4.25%

INFORMATIVE NOTE
MONETARY PROGRAM OF JUNE 2026
BCRP MAINTAINED THE REFERENCE INTEREST RATE AT 4.25%

1. The Board of Directors of the Central Reserve Bank of Peru (BCRP) agreed to maintain the reference interest rate at 4.25 percent.

2. The decision to maintain the reference rate took into account the following information and projections:

i. In May, the monthly inflation rate was negative, standing at -0.16 percent, while inflation excluding food and energy was 0.09 percent. The decrease in the month's inflation was mainly due to lower prices for certain foods. On a year-on-year basis, the total inflation rate decreased from 4.0 percent in April to 3.9 percent in May, while inflation excluding food and energy remained at 4.4 percent during the same period, staying above the target range.

ii. Twelve-month inflation expectations increased from 2.8 percent in April to 2.9 percent in May, remaining within the inflation target range.

iii. Considering that most of the inflation is associated with supply-side factors estimated to be temporary, it is projected that both year-on-year inflation and inflation excluding food and energy will return to the target range within the projection horizon, settling around 2 percent in 2027, as the effects of these supply shocks dissipate.

iv. Leading indicators of economic activity through May continue to show good performance. During the month, most indicators of current situation and expectations from the survey conducted by the Central Bank remained in the optimistic range, and a recovery was observed in most expectation indicators.

v. Global risk remains elevated due to the conflict in the Middle East, which is reflected in high volatility in financial markets and international oil prices. Despite this, the outlook for global economic activity growth for this year remains positive, and terms of trade remain favorable for the Peruvian economy.

3. The Board remains particularly attentive to new information on inflation and its determinants, including the evolution of underlying inflation, inflation expectations, economic activity, and the duration of supply shocks, in order to make adjustments to the monetary policy position if necessary. The Board reaffirms its commitment to taking the necessary actions to guarantee the return of inflation to the target range within the projection horizon.

4. During the same session, the Board agreed on the following interest rates for BCRP operations in national currency with the financial system under the counter modality:

i. Overnight deposits: 2.25 percent annually.

ii. Direct securities and currency repurchase operations, and Monetary Regulation Credits:

i) 4.75 percent annually for the first 10 operations in the last 3 months; and ii) the interest rate set by the Monetary and Exchange Operations Committee for operations in addition to these 10 operations in the last 3 months. Furthermore, the Monetary and Exchange Operations Committee may establish higher rates based on the amount of the operations.

5. The next Board session in which the Monetary Program will be evaluated is scheduled for July 9, 2026.

Lima, June 11, 2026