The central bank of Brazil raised interest rates from 13.75 to 14.25 as expected. This is to stifle inflationary risks from a sharp depreciation of the local currency.
Copom, bank’s monetary policy committee, decided to hike the benchmark Selic rate by 50 basis points for the sixth straight time.
The bank said that level of rates was needed for inflation to meet the target in late 2016.
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