Interest Rate Cut From Bank Of England

Interest Rate Cut From Bank Of England

The spread of coronavirus to the whole world, the increase in life loss and the failure of the vaccine yet to be found both cause enormous risks and fears for human life, while the markets continue to decline due to this situation. Central banks also continue to support markets because of the virus, which has caused serious losses in the global economy, particularly in China and Europe. The bank cut the interest rate from 0.75 percent by 50 basis points to 0.25 percent. In an initial statement after the decision, it was noted that activities in the UK could be significantly reduced in the coming months due to Coronavirus. Following the BoE's interest rate cut, sterling fell to 1.2827 against the dollar to 0.8850 against the euro and 0.8330 against the franc, while falling to 7.8880 against the TL.