Economics

Brazil at Risk of Steeper Rate Hikes, Former Central Banker Says

  • Budget, second virus wave complicated monetary policy: Loyola
  • Fiscal and political uncertainty have a heavy impact on real

People wearing protective masks walk through a market in Sao Paulo.

Photographer: Jonne Roriz/Bloomberg
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Brazil’s central bank is at risk of having to raise interest rates more than expected just a month after surprising investors with a bold rate hike, according to former central bank chief Gustavo Loyola.