Brazil central bank cuts interest rate to 4.25%

Brazil central bank board lowered the Selic rate to 4.25%, and intends to hold interest rates going forward after five consecutive rate cuts totalling 2.25 percentage points.The economy ministry expects gross domestic product to expand 2.4% in 2020. Annual inflation stood at 4.34% in mid-January, but the real’s performance, the second worst among emerging market currencies so far this year, could fuel price increases by making imports more expensive.

Source: Bloomberg