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Alckmin says he expects interest rates to fall at the next Copom meeting

Alckmin says he expects interest rates to fall at the next Copom meeting

The vice-president of the Republic, Geraldo Alckmin, said this Thursday (6) that the government expects a reduction in the interest rate at the next Copom meeting.Alckmin says he expects interest rates to fall at the next Copom meeting

Unanimously, the Monetary Policy Committee (Copom) maintained this Wednesday (5) the Selic Rate, the economy’s basic interest rate, at 15% per year.

“The interest rate is very high. We hope that at the next Copom meeting it will begin the reduction curve, it retracts economic activity, especially higher cost durable goods, but I think it will be transitory. We are having large investments in Brazil”, he said, while participating in an event in Minas Gerais.

Alckmin mentioned that the country has a record agricultural harvest, with a percentage increase of 17%, a drop in the dollar and inflation, as important economic indicators.

The next Copom meeting will be on December 9th and 10th.

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Selic

In a note, the Central Bank reported that the external environment remains uncertain due to the economic situation and policy in the United States, with repercussions on global financial conditions, which led to the maintenance of the interest rate.

In Brazil, the statement highlighted, inflation remains above the target, despite the slowdown in economic activity, which indicates that interest rates will remain high for a long time.

It was the third meeting in a row in which the Copom maintained basic interest rates. The rate is at its highest level since July 2006, when it was 15.25% per year.

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