Brazil’s Campos Neto Reinforces Partial Normalization: Estado

Brazil’s Central Bank Chief Roberto Campos Neto said policy makers will not take borrowing costs to a neutral level at this moment because economy still needs stimulus, according to O Estado de S. Paulo newspaper, citing an interview with him.

Unless there is an extraordinary change in conditions, interest rates will rise by another 75 basis points in May, he said. Campos Neto also repeated that the Central Bank does not make monetary policy based on the exchange rate and is most concerned with inflation, according to Estado.