BUENOS AIRES, June 13 (Reuters) – Economists predict that Brazil’s central bank will maintain its benchmark interest rate at 14.75% during its June 18 meeting, according to a Reuters poll. This rate is the highest seen in nearly two decades. The consensus among analysts has shifted since May, when many anticipated a 25 basis-point increase. Instead, the central bank is expected to pause after raising the Selic rate six consecutive times by a total of 425 basis points. Policymakers are likely to express concerns about inflation, which remains above target despite some recent moderation. The decision will keep a significant spread over U.S. rates, supporting Brazil’s currency but pressuring economic growth. Looking ahead, most economists foresee a rate cut in the coming months, with expectations for a reduction in borrowing costs by early 2026.
— new from Reuters
