Central Banks
Brazil Analysts See Higher Interest Rates in 2024 After Tightening Starts
- Central bank hiked interest rates by quarter-point last week
- Economic activity has stayed resilient to high borrowing costs
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Brazil analysts raised their 2024 year-end forecasts for the benchmark interest rate after the central bank kicked off a monetary tightening cycle to cool down a hot economy.
The benchmark Selic will hit 11.5% in December, up from the prior estimate of 11.25%, according to a weekly central bank survey published Monday. Analysts also lifted growth estimates and now see the Brazilian economy expanding 3% this year, up from 2.96% previously.