Brazil’s much-vaunted pension reform passed an important legislative hurdle this week, although the bill is likely to come up against more substantial resistance in the coming weeks. In the meantime, the central bank seems to be backing away from the idea that interest rate cuts are contingent on the reform progressing. And with the incoming activity data continuing to disappoint, it’s looking increasingly likely that Copom will cut the Selic rate at the next meeting on 31st July.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services