off-the-wire

Brazil's Campos Neto: we don't see this is an inflation driven by supply

Kitco Media
By Reuters
Published:
Updated:
Reuters
LONDON, April 21 (Reuters) - Brazil's central bank Governor Roberto Campos Neto said on Friday that the bank doesn't think current inflation is driven by supply, while defending high interest rates.


"We were very independent during the (presidential) election process. If we hadn't increased interest rates during the elections, inflation would be higher," Campos Neto added during the Lide Brazil Conference in London.


Brazil has an inflation target of 3.25% for 2023, which will be lowered to 3% in 2024, but consumer prices reached 4.65% in the 12 months through March. Benchmark interest rates stand at a six-year high of 13.75%. (Reporting by Libby George, editing by Jorgelina do Rosario)

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