We assess the effects of the Central Bank's latest interest rate decision on financial markets and the real economy.
The Central Bank’s latest interest rate decision finds a direct response in the financing costs of the real economy as much as in the financial markets.
The shift in credit costs affects project finance calculations in particular for companies at the investment stage. Reassessing long-term investment decisions within this framework would be well advised.
How exchange rate and interest movements are reflected in the financial statements should also be considered separately in terms of foreign exchange differences and the financing expense restriction.
