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Short-term monetary policy easing and high international reserves will maintain benign liquidity conditions for businesses in the short-term. In the medium to long-term, Brazil has a strong banking sector, lacks financial dollarization, and has low foreign borrowing dependence. The government will limit short-term capital inflows to prevent asset bubbles and strengthen banking regulation to address rising household debt. Solid global demand prior to the financial crisis helped lower external debt and improv

Author
jearodrigues
Language
EN

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