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At risk of economic deterioration/ the USA increases the interest rate again

2023-03-22 22:14:00, Ekonomi CNA

At risk of economic deterioration/ the USA increases the interest rate again

The United States Central Bank has raised interest rates again, despite concerns that such a step could worsen the current financial situation.

Only this month it was reported about the bankruptcy of several banks in the USA.

The Federal Reserve has raised the interest rate by 0.25 percent and said that this action may be "appropriate" after the increase in consumer prices.

Through a statement, the Federal Reserve has said that the American banking system is "stable".

However, the rapid increase in interest rates has burdened the banking system.

Two US banks - Silicon Valley and Signature have gone bankrupt this month, mainly due to problems caused by rising interest rates.

But the authorities all over the world have said that they do not think that the bankruptcy of these two banks threatens the expansion of the crisis in other banking institutions.

Last week, the European Central Bank also increased the interest rate by 0.5 percent.

The Bank of England is expected to make a decision on such an increase on Thursday./ REL

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