LIMA, April 27 (Reuters) - Peru’s central bank said on Monday that it was lowering local currency bank reserve requirements to 7 percent from 7.5 percent starting in May, part its ongoing effort to boost economic growth and lending in soles <PEN= PEN=PE>.
The central bank has gradually lowered the reserve floor for deposits in soles from 30 percent in mid-2013.
Central Bank President Julio Velarde told Reuters in February that the monetary authority was nearing its limit for loosening local currency reserve rules but that there could be “a few more cuts.”
The economy expanded by 1.8 percent year-on-year in the past 12 months through February, the latest month for which there is official data.
Reporting by Mitra Taj; Editing by Lisa Shumaker