Paraguay central bank held its benchmark interest rate at 8.5% for the seventh consecutive month and emphasized its continuous observation of both local and international factors for future decisions. The country’s annual inflation fell to 6.4% YoY in March from 6.9% in the previous month, but inflation expectations for the end of 2023 remained at 5% in April, still exceeding the 4% target. The bank warned that the uncertainty in the economy could lead to eventual risks and prevent convergence to the target.