Brasília – The inflation forecast for 2016, gauged under the Extended National Consumer Price Index (IPCA), has eased from 7.34% to 7.25% as per a poll of financial institutions conducted by the Brazilian Central Bank. This comes as the second back-to-back drop in the weekly poll. The 2017 forecast also fell, from 5.12% to 5%. The numbers are released in the Focus Bulletin made public every Monday.
The benchmark interest rate (Selic) is seen at 13.75%, at the end of this year, and 11% in the end of 2017. Brazil’s Gross Domestic Product (GDP) forecast changed from 3.15% to 3.14% for this year, and from 1.36% to 1.30% for 2017.
*Translated by Gabriel Pomerancblum
