Brazil Central Bank Pauses Interest Rate Cuts, Signals Steady Borrowing Costs Ahead

Reported 8 months ago

In a unanimous decision sought by the markets, Brazil's central bank paused the nearly yearlong easing cycle by keeping the benchmark Selic rate unchanged at 10.5%. Policymakers cited uncertainties in the global environment, a resilient domestic economy, rising inflation projections, and a worsening consumer price outlook for interrupting the rate cuts. This decision is expected to maintain steady borrowing costs in the future, with analysts predicting the Selic rate to remain at 10.5% through the end of 2025.

Source: YAHOO

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