BRH Monetary Policy Note
Summary: This report by the Bank of the Republic of Haiti (BRH) analyzes monetary policy during the first quarter of fiscal year 2020 (October-December 2019). It discusses the economic context, policy decisions, and performance of the banking system.
Key Findings
- The Haitian economy was significantly impacted by socio-political crises during October and November 2019, leading to a slowdown in economic activity.
- The BRH lowered its policy interest rate by 7 percentage points in November 2019 to alleviate financial burdens on businesses.
- The gourde depreciated slightly during the quarter, with the exchange rate decreasing by 1.41% between September 30 and December 31, 2019.
- The banking system remained stable, but asset quality deteriorated, and profitability ratios declined.
- The BRH expects a relative stabilization of inflation in the second quarter of fiscal year 2019-2020 if the circulation of people and goods improves.
Full Description
This note examines Haiti's monetary policy during the first quarter of fiscal year 2020. It reviews the global and domestic economic environment, including trends in inflation, exchange rates, and economic activity. It details the BRH's monetary policy decisions during the quarter, such as interest rate adjustments and liquidity management operations. The report also assesses the performance of the banking system, focusing on indicators of stability, asset quality, and profitability. Finally, it outlines the BRH's perspectives on the economic outlook and future policy challenges.
How to cite
Bank of the Republic of Haiti (BRH), 2020, BRH Monetary Policy Note, https://www.brh.ht/wp-content/uploads/note_polmon4t20.pdf