Lula’s Nominees for Brazil’s Central Bank Unlikely to Attend Next Rate Decision

  • Central bank expected to give first hints for a rate cut
  • Gabriel Galipolo, Ailton Aquino need to be approved by Senate
Roberto Campos Neto, Brazil’s Central Bank president, speaks during a hearing of the Senates Economic Affairs Committee (CAE) at the National Congress in Brasilia, Brazil, on Tuesday, April 25, 2023. Photographer: Gustavo Minas/Bloomberg
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President Luiz Inacio Lula da Silva’s nominees for Brazil’s central bank board are unlikely to take office in time for the next interest rate decision, when policymakers could give the first hints of an expected monetary easing cycle.

Lawmakers are expected to delay required public hearings for deputy finance minister Gabriel Galipolo and career central bank employee Ailton Aquino until after the June rate decision meeting, according to two people with knowledge of the matter. That could prevent noise in the market amid expectations that Galipolo could be a voice in the committee to push for a looser monetary policy, the people said.