Brazil's Central Bank Autonomy Under Lula's Watch

Brazil's President Lula da Silva supports Central Bank Chief Gabriel Galipolo's decision to raise interest rates. Lula appointed Galipolo and assures he will lower rates when suitable, maintaining autonomy in his role.

In a bold move affirming trust in his appointee, Brazil's President Luiz Inacio Lula da Silva has expressed full support for Central Bank Chief Gabriel Galipolo's recent decision to increase interest rates by 100 basis points. The rate now stands at 13.25% as of Thursday.

During his press conference, President Lula highlighted that Galipolo was fulfilling his duty in the face of shifting economic conditions. Lula emphasized the importance of Galipolo's autonomy, ensuring he has the liberty to adjust rates as deemed necessary for the country's economic health.

Galipolo, who took office at the start of the month, has been tasked with establishing favorable conditions for potentially lowering interest rates in the future, aligning with the central bank's commitment to economic stability.

(With inputs from agencies.)