Weekly Report - 20 January 2022 (WR-22-03)

BRAZIL: Inflation and inequality loom over election year

The president of Brazil’s central bank (BCB), Roberto Campos Neto, had to address Economy Minister Paulo Guedes an open letter last week explaining why the 2021 inflation rate came in well over the target range. Brazil is not alone in having to deal with the global phenomenon of surging inflation (a point Campos Neto made in his letter), but it represents a specific challenge for the authorities within the context of the upcoming general election, due in October.

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