MARCH 30, 2026 AT 12:35 PM
BCB's Galipolo says that given the level of restriction imposed by monetary policy, it was expected that we would see a more acute effect on the economy
Importance
Level 1
- Says we need to look at the composition of the economic slowdown and observe the impacts of the current supply shock
- Says BCB has a governance structure in place to contain more extreme positions
- BCB will always act cautiously
- BCB will cushion accumulated through more conservative positions, which meant that new developments did not alter the overall context for the easing cycle to begin.
- Assessing oil price spike impact.
- Assessing economic slowdown composition.
- BCB has a relatively well-behaved effect on the economy, considering the level of policy restrictions it has.