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Cabinet Set for Centrist-Leaning Reshuffle as Fiscal Framework Eyes Next Steps

BRAZIL
  • The finance ministry have signed off on the allocation of $1bln for the BNDES development bank from the BRICS-backed New Development Bank. The official gazette sees the funds being allocated for the Emergency Credit Access Program.

Weekly Focus survey:

  • Inflation: 2023 unchanged at 4.90%, 2024 up to 3.87% from 3.86%
  • GDP: 2023 up to 2.31% from 2.29%, 2024 unchanged at 1.33%
  • SELIC: 2023 unchanged at 11.75%, 2024 unchanged at 9.00%
  • BRL: 2023 up to 4.9800 from 4.9500
  • Campos Neto appears at two separate events Monday, with the BCB President appearing at 1800BST/1300ET and 2300BST/1800ET.
  • Elsewhere, markets watch for any update on Lula’s cabinet, amid speculation he could conduct a mini-reshuffle following the passage of the fiscal framework through the Lower House last week.
  • Any reshuffle is expected to focus on the installation of more centrist ministers, with Lula aiming to ease the passage of fiscal reform through the Congress. The President is set to meet with his finance minister Haddad and the Argentine economy minister after the markets close.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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