Brazil Cenbank cuts TBAN rate to 42.25 percent
Reuters, Wednesday, November 11, 1998 at 18:45
BRASILIA, Nov 11 (Reuters) - Brazil's Central Bank cut its
basic assistance rate, known as the TBAN, to 42.25 percent from
49.75 percent, a spokeswoman said on Wednesday.
The Central Bank also extended until December 16 the period
during which it will lend to other banks exclusively at the
TBAN rate, she said. The deadline was previously set at
November 11.
The bank maintained its prime lending rate, or TBC,
unchanged at an annualized 19.00 percent.
It suspended lending to other banks at the TBC rate in
September, at the height of a financial crisis triggered by a
devaluation in Russia, which sent shockwaves through other
emerging markets.
Analysts expected the Central Bank would rapidly lower the
key overnight rate, which its sets daily through informal
auctions, to between 35 percent and 40 percent from the current
42.75 percent.
Copyright 1998, Reuters News Service |
