As we predicted, the Central Bank is not eager to slash interest rates. On Friday, it reduced its base rate by just 50 basis points to 16.5%. This sent a clear signal that its monetary policy will continue to be very cautious, while leaving it some room for maneuver at the final rate-setting meeting of the year in December. In its statement, the Bank said that the economy is still returning towards a balanced growth trajectory, but lending growth accelerated in recent months and inflation expectations remain high. The bank pledged to maintain a tight policy “which is essential to return inflation…