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Brazil Property News: Brazil expert: 'Keep interest rates the same'
3rd April 2008 04:55
A leading Brazilian finance expert has advised the country's central bank to keep interest rates at the same level.
President Lula's advisor, Antonio Delfim Netto, claimed that raising the benchmark rate would derail the nation's economic expansion, Bloomberg reports.
Mr Delfim met with President Lula last month to explain his views, which look set to boost the prospects of property in Brazil.
The former finance minister went as far as to describe raising borrowing costs as a "suicidal move".
According to the financial news provider, Brazil's real has more than doubled against the dollar since Mr Lula took office in January 2003, the best performance of the world's 16 most traded currencies.
Central bank policymakers held the rate unchanged at a record low of 11.25 per cent last month.
Mr Delfim is a member of an informal group of economic advisers that includes finance minister Guido Mantega and central bank chief Henrique Meirelles.
Interest in buying a property in Brazil appears to have boomed of late, after sales at one of the country's biggest real estate events exceeded all expectations.
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