Latin America Economics

Latin America Chart Book

29 June, 2018

Politics comes to the fore

Rising political risk has dominated the headlines in Latin America this month. A recent truck drivers’ strike in Brazil, a protest against the removal of diesel subsidies, has disrupted activity and pushed up inflation. While the strike has ended, the shift in focus to October’s election, in which populists are leading the polls, has put further pressure on the Brazilian real. Copom left interest rates unchanged this month but signalled that it would tighten policy if inflation expectations rise

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