"The next two meetings of the Monetary Policy Committee are the way to conduct policy with the least possible cost," Brazil's Central Bank President Roberto Campos Neto said at a press conference presenting the Quarterly Inflation Report.
After four consecutive cuts, the rate currently stands at 11.75 percent annually, which means by March 2024 the planned rate will drop to 10.75 percent.
Brazilian President Luiz Inacio Lula da Silva has criticized the central bank for delaying the reduction of the base rate, which began in August.
Neto reaffirmed there was a relationship between the bank's monetary policy to reach inflation targets and the government's fiscal policy.
"Nothing is mechanical. We try to look at the factors that can influence policy so that they serve as a guide when making decisions," he said.
In its quarterly report, the central bank reduced its inflation forecast for this year from 5 to 4.6 percent. The target rate is 3.25 percent, with a margin of tolerance of 1.5 percentage points.
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