Economy / Brazil
If you would like to subscribe to Brazil Monitor and gain instant access to this article, please click here to subscribe.
If you would like to take a trial to Brazil Monitor please click on the trial link below.
Inflation Weighs On Risk Rating
April 2008 | Risk SummarySorry, you must be a subscriber to view this article in full. If you are a subscriber please login.
If you would like to subscribe to Brazil Monitor and gain instant access to this article, please click here to subscribe.
If you would like to take a trial to Brazil Monitor please click on the trial link below.
We have revised down Brazil's short-term political risk ratings to 72.1 this month, from 73.3, on the back of growing headline inflation and a recent uptick the monthly unemployment rate. Although we do not see an immediate risk to either category at this point, we caution that ongoing price pressures are likely to impact government policy on a broader scale going forward. That said, with interest rates expected to rise over the next few months, we believe that the short-term political risks stemming from rising consumer prices and a slight rise in the unemployment rate will be limited.