The Central Bank of Uruguay kept its policy rate unchanged at 5.75% in April 2026, seeking to steer inflation toward its 4.5% annual target amid elevated global uncertainty. Headline inflation reached 2.94% in March, touching the lower bound of the tolerance range, mainly due to declining food prices, while core inflation quickened to 3.5%. Economic activity showed signs of improvement in the first quarter, supported by stronger private consumption.
BCU projections indicate that inflation will come under upward pressure next year, reflecting volatile oil prices and higher logistics costs associated with the conflict in the Middle East. Even so, inflation expectations remain relatively well anchored, at 4.5% among analysts and 5% among firms. The Board stressed that the current monetary policy stance is robust enough to respond to international risks and to ensure that inflation converges to the target as anticipated.