Brasília – The minister of Development, Industry and Foreign Trade, Miguel Jorge, said today (10) that the expansion of the benchmark interest rate (Selic) to 10.25% a year should have no effect on the Brazilian trade balance.
“On the contrary, if you imagine that the interest rate was increased to reduce domestic economic activity and consumption, theoretically, you will have more products for export,” he explained.
After participating in news program Bom Dia, Ministro (Good Morning, Minister), at the studios of EBC, Miguel Jorge pointed out that good export policies are established over time, with much planning. “We are no longer a country that, due to growth on the domestic market, reduces exports and, on retraction of the domestic market, returns to exporting.”
The Monetary Policy Committee (Copom) of the Central Bank of Brazil expanded the rate from to 10.25% a year yesterday (9), in line with expectations for the financial market, which forecasts new adjustment in the rate this year, up to a limit of 11.75%, as a way to contain inflationary pressure.
*Translated by Mark Ament
