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Bank of England leaves key rates unchanged

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Press Trust of India London
Last Updated : Jan 21 2013 | 1:24 AM IST

Continuing with its low interest rate regime to boost the nation's recession-hit economy, the Bank of England today left the key interest rates unchanged at 0.5 per cent.

The apex bank has been maintaining the rate at this level since March 2009. In addition to lower interest rates, the bank would continue with its 200 billion pounds asset-purchase programme.

The central bank said its monetary policy committee voted to maintain the official bank rate paid on commercial bank reserves at 0.5 per cent. "The committee also voted to continue with its programme of asset purchases totalling 200 billion pounds financed by the issuance of central bank reserves," it said.

According to the bank, the asset purchase programme is expected to be complete in another month.

Unlike many other European economies such as Germany and France, Britain continues to remain in recession -- generally defined as two straight quarters of negative growth. The economy shrank 0.2 per cent in the third quarter of 2009.

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First Published: Jan 07 2010 | 9:29 PM IST

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