The monetary policy rate (MPR) is the target interest rate for interbank transactions that the CBCh intends to achieve by means of its monetary policy instruments: open market operations, permanent liquidity and deposit facilities, in general. As from August 9th, 2001, it was decided to nominalize the monetary policy, and the monetary policy interest rate was initially set at an annual 6.5%. Before that date, the MPR was defined in terms of a commonly used unit of account (the UF, indexed to one-month-lagged CPI).
