Paraguay’s central bank lowered its key interest rate by 25 bps to 6% and signaled it continued monetary policy easing as inflation slows. Since August, officials have lowered borrowing costs by 250 basis points. The central bank said in a post-meeting statement that it will monitor events to ensure inflation converges with the 4% target. The country’s inflation declined to 2.9% YoY in February from 3.4% in January, driven by decreasing fuel prices and a moderation in food inflation.