Central banks hike rates as inflation pressures households in Dominican Republic and Colombia

The Dominican Republic's central bank kept its policy rate at 5.25% while inflation for May 2026 ran at 5.35% year‑on‑year, pushing basic basket prices above the 50,000 RD$ mark and prompting criticism that price dynamics receive insufficient focus in official communication.

In Colombia, the monetary authority raised the intervention rate to 12% on 30 June, driving consumer loan rates toward 29% annual. Inflation for May hit 5.84% year‑on‑year, well above the 3% target, and higher costs are expected to filter into credit‑card, revolving‑loan and installment‑payment bills over the coming months, squeezing household finances.