Brazil's basic interest rate falls to record-low 7 pct

RIO DE JANEIRO, Dec. 6 (Xinhua) -- The Brazilian Central Bank's Monetary Policy Committee (Copom) announced late Wednesday its decision to reduce the country's annual basic interest rate from 7.5 percent to 7 percent.

The committee's decision was unanimous. With the reduction, the Selic rate, also called the Bank's overnight rate, reaches its lowest level since its establishment in 1986. The country now has the fourth highest real interest rate in the world, after Turkey, Russia and Argentina. Brazil held the first position in the ranking for a long time.

It was the 10 consecutive cut in the Selic rate. This year, the rate has accumulated a reduction of 6.75 points, almost by half.

In their official statement, Copom said they may consider a new reduction in the Selic rate in their next meeting, scheduled for February 2018, if the Brazilian economy evolves as expected. Enditem