In the view of economist Gilberto Braga, the figures show the success of the macroeconomic policy of the government and the Central Bank’s Monetary Policy Committee.
This is the second time in six months the Selic rate is decreased. As at the previous meeting, the financial institution stated it should continue to make reductions of the same intensity in the future.
According to Brazil’s National Industry Confederation, the growth shows that the index is moving away from the threshold separating confidence from lack of confidence.
The targeting system will transition to a continuous regime with a longer-term perspective in 2025, said Finance Minister Fernando Haddad and Planning Minister Simone Tebet.
The 2023–24 value is up 34% from the previous plan. Announcements also include lower interest for producers of common food items on the Brazilian table, incentives for the purchase of machinery, more credit for women producers, and the inclusion of traditional communities.