Following is a translation of the statement by Brazil’s central bank on its interest rate decision today.
“The Copom decided to reduce the Selic rate to 7.25 percent p.a., without a bias, by five votes in favor and 3 votes for keeping the Selic rate at 7.50 percent p.a.
Considering the balance of risks for inflation, the recovery of domestic activity and the complexity surrounding the global environment, the committee understands that the stability of monetary conditions for a sufficiently prolonged period of time is the most adequate strategy to guarantee the convergence of inflation to target, even if not in a linear fashion.
Voting in favor of the reduction in the Selic rate to 7.25 percent p.a. are the following board members: President Alexandre Antonio Tombini, Aldo Luiz Mendes, Altamir Lopes, Luiz Awazu Pereira da Silva and Luiz Edson Feltrim.
Voting for keeping the Selic rate at 7.50 percent p.a. are the following board members: Anthero de Moraes Meirelles, Carlos Hamilton Vasconcelos Araujo and Sidnei Correa Marques.”