Posts Tagged basic interest rate
Brazil central bank cuts 2011 growth forecast to 3.5%
Brazil’s central bank has lowered its forecast for economic growth to less than half of last year’s, partly blaming the slowing global economy.
The central bank lowered its prediction for growth in 2011 to 3.5%, from 4% that it expected in June.
Brazil has boomed as other countries have stalled, growing 7.5% last year.
The bank pointed to “the deterioration in the international outlook” for the downgrade, and also to spending cuts enacted by President Dilma Rousseff.
The central bank said there could be further “moderate” cuts to the basic interest rate, which was lowered in August to 12%, from 12.5%.
In February, the Brazilian government will implement 50bn reais ($30bn; £19bn) of spending cuts in order to curb inflation and help prevent the economy from overheating.
Source: BBC News Read more
It wasn’t so long ago that the Blonde Bimbo announced on TV that Brazil could weather any effect from the global economic situation.
Really, she’s got no idea!
This is just affirming what I predicted the moment the polls closed and we had an overweight Barbie for a presedenta.