Global central banks diverge: Swiss holds at 0%, Bank of England eyes hike, Thailand cuts

MercoPress—Central banks delivered diverging signals on monetary policy this week, highlighting how differently major economies are navigating the post-inflation landscape. Switzerland's central bank held its key interest rate at 0%, reflecting the Swiss economy's particular sensitivity to franc appreciation and its low domestic inflation. The Bank of England kept rates at 3.75% but analysts said a hike remains on the table given that UK inflation is still running at 2.8%, above the 2% target. Thailand's central bank made a surprise move in the opposite direction, unexpectedly cutting its policy rate to support a slowing economy. The divergence underscores that the global monetary cycle has entered a fragmented phase, with no single direction for rates across major economies.

• MercoPress — The Bank of England held rates at 3.75% while inflation remained above target at 2.8%.
• SWI swissinfo — Switzerland's central bank held its key interest rate at 0%, reflecting low domestic inflation.
• Sky News — Business — Analysts said a Bank of England rate hike is still possible given persistent above-target UK inflation.
• Bangkok Post — Thailand's central bank made a surprise cut to its policy rate to support a slowing economy.