The Central Bank of Brazil unanimously decided to increase the Selic rate by 50bps to 13.25% on June 15th 2022, as expected, bringing borrowing costs to the highest since December of 2016. It was the 11th consecutive interest rate hike since it started tightening in March of 2021, to combat persistent inflation. Brazil’s inflation slowed in May from April and from a year earlier, but the annual rate was still well above the central bank’s target of 3.5% at 11.73%. Policymakers judged that this decision reflects the uncertainty around its scenarios for prospective inflation, an even higher-than-usual variance in the balance of risks and is consistent with the strategy for inflation convergence to a level around its target throughout the relevant horizon for monetary policy, which includes 2023. Meanwhile, recent economic data suggests a rate of growth above the Committee's expectations. For its next meeting, the Committee foresees another rate increase "of equal or lesser magnitude". source: Banco Central do Brasil
Interest Rate in Brazil averaged 13.95 percent from 1999 until 2022, reaching an all time high of 45 percent in March of 1999 and a record low of 2 percent in August of 2020. This page provides - Brazil Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Brazil Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on June of 2022.
Interest Rate in Brazil is expected to be 13.25 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Brazil Interest Rate is projected to trend around 9.25 percent in 2023 and 8.00 percent in 2024, according to our econometric models.