RIO DE JANEIRO, BRAZIL – The probability of inflation exceeding the limits of the target tolerance range this year rose from 88% in the March estimate to 100%, according to the Quarterly Inflation Report released Thursday by the Brazilian Central Bank (BC), which also increased the estimate of the chance of bursting in 2023, from 12% to 29%.
“Inflation projections have risen over the entire horizon considered,” the Central Bank said in the document.
The report was presented a week late because of the agency’s server strike.
Normally, the release is followed by a press conference with the BC’s president, which will not be done in this edition because Campos Neto already held the press conference last week, when part of the document’s projections were anticipated.
On that occasion, the BC’s president said that the worst moment for inflation in Brazil is over and that the country is very close to finishing all the work of raising interest rates to tame rising prices.
With information from Reuters