BC resists pressure and keeps Selic at 13.75% for the 4th consecutive time
The Copom (Monetary Policy Committee) of the Central Bank decided, this Wednesday (21), to maintain the Selic rate at 13.75% per annum. The interest rate has been at the same level since August 2022. This was the fourth consecutive time that the Copom met in 2023.
The Central Bank’s decisions to maintain the Selic rate at 13.75% have been the target of public criticism by President Luiz Inácio Lula da Silva and ministers in his government. Market sectors also complain, arguing that interest rates – considered high – reduce consumption and, consequently, the circulation of capital.
According to the Copom, the policy of maintaining the rate at 13.75% has achieved the objective of holding down inflation: “The Committee assesses that the situation requires patience and serenity in conducting monetary policy and recalls that future steps of monetary policy will depend on of the evolution of the inflationary dynamics”, affirms the “communication” released by the Committee.
By Brasil 61
