Fernando Haddad, Brazil’s Finance Minister, stated that a recession is not required to lower inflation. He noted the economy can continue to grow without excessive consumer price increases, while also calling for the central bank’s intervention to meet inflation targets amid a recent interest rate hike.
Brazil’s Finance Minister, Fernando Haddad, asserted that a recession is not a prerequisite for reducing inflation in the nation. He emphasized that it is feasible for the economy to continue its growth trajectory while maintaining consumer price stability.
Haddad recognized the necessity for the central bank to take appropriate measures to restore inflation to targeted levels. This comes in light of the recent decision by policymakers to implement a third successive increase of 100 basis points in the benchmark interest rate, which has now reached 14.25%.
In summary, Finance Minister Fernando Haddad believes that inflation in Brazil can be controlled without resorting to a recession. He highlights the importance of effective central bank interventions to ensure economic growth coincides with stable prices.
Original Source: www.tradingview.com
