The minister of the Institutional Relations Secretariat, Gleisi Hoffmann, stated this Wednesday, 28, that maintaining the interest rate at 15% would be “absurd” and that this implies an increase in Brazilian public debt. The minister’s statement comes just hours before the Monetary Policy Committee (Copom) releases the Selic rate, expected to remain at the same level, 15%, as it has been since June 2025.
“Within the government, we have expressed that it is absurd for interest rates to continue at this level of 15%. This only has implications for one thing: the increase in Brazilian public debt. There are people wanting us to cut the tax bill to lower the debt-GDP ratio. They want us to stop spending on health and education. Because for every one percentage point of the interest rate, it means R$50 billion. So, I don’t see why it should be maintained”, said the minister.
Gleisi also stated that there are no reasons to justify the current Selic rate. According to her, inflation within the target band and the fall in the dollar and food prices should be accompanied by a reduction in interest rates.
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“Who cares? Why maintain this interest rate? I really hope that everyone stops and thinks and starts lowering the interest rate at this next meeting”, declared the minister.
The minister also stated that she hopes that the monetary authorities participating in the Copom have a “sensitivity about what is happening in the country”. The Monetary Policy Committee (Copom) of the Central Bank (BC) is holding its first meeting of the year this Wednesday, with the prospect of maintaining the Selic rate at 15%.
