BoE’s Tenreyro says negative rates ‘encouraging’

BoE governor Bailey

LONDON: The Bank of England’s (BoE) investigation into whether negative rates might help the British economy through its current downturn has found “encouraging” evidence, policymaker Silvana Tenreyro said in an interview published late on Saturday.

Tenreyro told the Sunday Telegraph that she did not expect Britain to continue to enjoy a fast V-shaped recovery, due to headwinds from local flare-ups in Covid-19, rising unemployment and a “very weak” global economic outlook.