RIO DE JANEIRO, BRAZIL – Expectations for inflation in the Focus survey released by the Brazilian Central Bank on Monday increased for this and next year, but the scenario for monetary policy remained unchanged.
The weekly survey showed that the estimate for the IPCA rose to 5.09% in 2022 and 3.40% in 2023, from 5.03% and 3.36%, respectively, in the previous week.
Both results are above the center of the target, which is 3.5% for this year and 3.25% for 2023, always with a tolerance margin of 1.5 percentage points more or less.
For the Gross Domestic Product (GDP), the growth estimate for this year was adjusted upwards by 0.01 percentage points to 0.29% but improved further for 2023. The expectation now is for growth of 1.75% next year, up from 1.70% before.
The weekly survey of a hundred economists also showed that the basic interest rate should end this year at 11.75% and next year at 8.0%, unchanged. Currently, the Selic is at 9.25%.