"We are close to seeing the peak of inflation", says BC president

The president of the Central Bank (BC), Roberto Campos Neto, said this Friday (26) that the peak of inflation is near the end, with an improvement as of next year.

"It's close – looking at 12 months – to see the peak [in inflation], and we understand that, starting next year, we will see an improvement," said Campos Neto, while participating in a virtual event with companies in the real estate market , promoted by the São Paulo Housing Union (Secovi-SP).

Campos Neto stated that the BC imagined, "at some point", that the peak of inflation would be in September, but this did not occur due to the "energy shocks [that] came consecutively, surprising everyone", and the increase of gasoline rising at the pump, pulled by ethanol.

Projection for GDP

The BC president also indicated that the institution should worsen its projection for the growth of the Gross Domestic Product (GDP, the sum of all goods and services produced in the country) in 2022, but not in the magnitude indicated by the market in its latest estimates.

The BC's latest bill, up 2.1%, will likely be revised downwards, he said, "but not as low" as the median in market agents' expectations.

In the last Focus bulletin, the market outlook was for growth of only 0.7% for the Brazilian economy in 2022.

*With information from Reuters Agency

Text translated using artificial intelligence.