As the real interest rate in any economy will be more or less constant, the nominal interest rate is directly proportional to rate of inflation. Thus it will rise when rate of inflation increases and fall when the rate of inflation falls. 35.
Financial and Economic Developments  Exports and Production Real Exports 115  Industrial Production  s.a., CY 2015=100  110  s.a., CY 2015=100  110 105  105 100  100  95  95  90 CY 10  11  12  13  14  15  16  17  90 CY10  18  11  12  13  14  15  16  17  18  Note: The figure for industrial production for 2018/Q4 is the October-November average.