Tuesday, June 26, 2007

Brazil Monetary Council Sets 4.5 Percent Inflation Target for Central Bank

(Bloomberg) -- Brazil's National Monetary Council
extended the central bank's annual inflation target of 4.5
percent to 2009, saying the rate will give policy makers
``flexibility'' to deal with unexpected price increases.

The council, composed of Finance Minister Guido Mantega,
Budget Minister Paulo Bernardo and central bank president
Henrique Meirelles, maintained a band of 2 percentage points
above or below the target, Mantega said. Today's favorable
economic outlook allows the bank to aim for an inflation rate
below the mid-point of the target, he said.


Read more at Bloomberg Emerging Markets News

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