Central Banks

Brazil Central Bank United on Current Interest Rate Cut Pace, Chief Says

  • Central bankers cut interest rate to 13.25% this month
  • Bank has ‘high bar’ to clear for faster cuts, Campos Neto says
Roberto Campos Neto, Brazil’s Central Bank president, at the National Congress in Brasilia, Brazil, on Thursday, Aug. 10, 2023. Photographer: Ton Molina/Bloomberg
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Brazil’s central bank has a “pretty high bar” to clear to accelerate the pace of its first easing cycle in three years, chief Roberto Campos Neto said Thursday.

Policymakers led by Campos Neto cut the country’s benchmark interest rate to 13.25% in early August, from a previous six-year high of 13.75%. They signaled that they would proceed at the same speed in future meetings as Brazil’s inflation outlook continues to improve, and for now are united behind that strategy.