Business · Economy · 5 hrs ago

Brazil Economists Raise 2026 Interest Rate Forecasts After Lula’s Win

Brazil Economists Raise 2026 Interest Rate Forecasts After Lula’s Win

Brazilian economists raised their forecasts for the country’s key interest rate at the end of 2026.

They made the increase for the second week in a row.

The change follows President Luiz Inácio Lula da Silva’s reelection.

Economists expect high public spending to put pressure on inflation.

Higher inflation expectations can lead to forecasts of higher interest rates.

These figures are forecasts, not a reported change to the interest rate itself.

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