Central Banks in GCC countries hikes interest rates

Dubai: The Central Banks in the GCC countries hiked the main interest rates. The decision was taken as the US Federal Reserve raised its target policy rate by 50 basis points.

All Gulf countries except Kuwait have their currencies pegged to the US dollar.  , Kuwait  pegs the Kuwaiti dinar to a basket of currencies that includes the dollar.

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The central banks of Saudi Arabia, the United Arab Emirates, Qatar and Bahrain raised their key rates by 50 bps. The Central Bank of Kuwait said it increased its discount rate by 25 basis points (bps) to 2%.