DAR ES SALAAM, July 4 -- THE Bank of Tanzania (BoT) has cut its benchmark interest rate by 25 basis points to 5.75 per cent for this years quarter three, down from 6.0 per cent in the previous quarter, citing stable inflation expectations.

In the two quarters to June, the central bank maintained the benchmark rate at 6.0 per cent, reflecting confidence in the inflation outlook.

The Monetary Policy Committee (MPC) that met on Tuesday lowered the CBR by 25 basis points to 5.75 per cent and the Bank of Tanzania (BoT) will manage monetary policy to keep the 7-day interbank rate with in the 3.75–7.75 per cent corridor.

The BoT Governor Emmanuel Tutuba said in Dar es Salaam yesterday that the MPCs decision reflects confidence in the in...