Oct 27, 2010
| Last Updated
EXECUTIVE SUMMARY
In Brazil, credit growth somewhat eased in September, but continues to advance at a solid pace, thus supporting domestic demand—especially consumption—and suggesting that further tightening in macroeconomic conditions might be necessary. Meanwhile, the external account dynamics suggest that there is plenty of funding to finance the widening current account deficit; however, its quality continues to deteriorate while a stricter interventionist approach might compromise the balance between quality and quantity. Moreover, the inflation outlook remains above target and[...]
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