MercoPress. South Atlantic News Agency
Brazilian central bank inflation estimates anticipate increase in interest rates
The Central Bank's Monetary Policy Committee will meet in late July to adjust the benchmark interest rate, currently at 13.75% The Brazilian Central Bank on Wednesday raised its inflation estimate for 2015 to 9%, or almost double the midpoint in the official range and well above the 6.5% top end target, and said the economy may contract by 1.1% this year, marking the worst performance since 1990.
The quarterly Central Bank report estimated that the inflation rate would be 4.8% in 2016, a figure closer to the midpoint in the official range and below the 4.9% projected in the previous report.
The first-quarter projections called for an inflation rate of 7.9% and a drop in the GDP of 0.50%.
The Central Bank's Monetary Policy Committee will meet in late July to adjust the benchmark interest rate, currently at 13.75%, as the financial markets push for a halt in the interest rate hikes that officials justified as a tool for fighting inflation.
“The ongoing macroeconomic adjustment process, necessary and essential to consolidate the fundamentals favoring a convergence of inflation with the goal for late 2016, is associated with the consequences of non-economic events that have had a negative impact on short-term dynamics,” the Central Bank
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Read all commentsSo sorry Brasso, can you please explain as you are our top notch financial guru.
Jun 25th, 2015 - 02:49 pm 0Until they stop giving free money to slum dwellers they'll never nip the o' inflation bugaboo.
Jun 25th, 2015 - 04:12 pm 0:)
Great idea to stoke inflation even more and suppress demand: just what the economy needs, NOT.
Jun 25th, 2015 - 06:48 pm 0You can see where Brasso gets his stupidity from, even the so called 'smart' people are really stupid.
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