Peru unexpectedly halted its steepest-ever series of interest rate hikes as violent unrest paralyzed the economy and dented the growth outlook. The bank held its benchmark interest rate at 7.75%. Policymakers reiterated that the annual inflation would begin declining in March and return to the target range in Q4 2023. In a report published on Thursday, the IMF expects Peru’s economy to grow by 2.4% this year, down from 2.7% in 2022.