Bank of England drops interest rates to record low
The Bank of England overnight reduced interest rates to 1,5%, the lowest since it was founded more than 300 years ago and down 3,5% since October 2008. It mentioned the world economy as being gripped by an 'unusually sharp and synchronized downturn'. The move is meant to encourage lending and availability of credit for businesses.
http://rds.yahoo.com/_ylt=A0geu.RxAWdJy1ABm1JXNyoA;_ylu=X3oDMTBzZmNmZGg5BHNlYwNzYwRjb2xvA2FjMgR2dGlkA0RGUjVfOTQ-/SIG=13r33j5gj/EXP=1231573745/**http://www.latimes.com/news/nationworld/world/la-fg-bank-england9-2009jan09,0,6703244.story?track=rss
To encourage lending...like excessive lending is not the main source of crisis (together with the rotten evil capitalism of course :) USA, Japan, now Britain are hitting record lows and nothing seems to help. Maybe we have to just endure the crisis, not to postpone the pain...?
ReplyDeleteJay