Swiss currency crisis fallout: Denmark cuts key interest rate

  • Denmark has cut a key interest rate on Monday, January 19, with the aim of preventing the krone from gaining strength following Switzerland's scrapping of the franc's peg to the euro.

    Denmark slashed its deposit rate from minus 0.05% to minus 0.2%; the lending rate was cut to 0.05% from 0.2%, media reports said.

    This would make investors less interested in the krone and lower the pressure on the central bank to continue buying euros, analysts say.

    Tagged as: Denmark, key interest rate, krone, Switzerland, franc, peg, euro, deposit rate, lending rate, investors, business news