The recent increase in the prime interest rate has encouraged some eco

Here the sentence states that the recent increase in prime interest rate has encouraged some economist. So that is clearly mentioned in the option A. Error in other options mentioned below.

A. The recent increase in the prime interest rate - correct
B. Increasing recently, the prime interest rate - this sentence states that Prime interest rate has encouraged not the increase. So wrong.
C. The recent rate of increase in prime interest - this sentence states that rate of increase has encouraged not the increase in prime interest rate. So incorrect.
D. The prime interest rate, recently increased, - again The prime interest rate has not encouraged but increase in prime interest rate has encouraged. So incorrect.
E. The recently increasing prime interest rate- present continuous is wrong. So incorrect.

Posted from my mobile device