BRAZIL'S UNENVIABLE CHOICES
Tema(s): En: Financial Times 5 feb. 1999, p. 16Resumen: Failure to curb financial turmoil in the wake of its currency devaluation has left the government with few easy options. Brazil is showing the early signs of financial meltdown. What began as an attempt at acontrolled devaluation is turning into a panic. Last Friday, Brazilians queued outside banks to withdraw their savings amid rumours that the government was about to freeze bank accounts. Interest rates have been raised to 39 per cent to steady the Real, which has lost almost 50 per cent of its value since the currency was allowed to float on January 13. So what are the government's options? Broadly, it has three: default, followed by renegotiation of debt; to slash public spending to compensate for higher interest payments; and to reduce the real value of domestic debt by inflation. All are unenviable, to put it mildly.| Tipo de ítem | Biblioteca actual | Signatura topográfica | Info Vol | Estado | Fecha de vencimiento | Código de barras | |
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Analítica de Seriada
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BIBLIOTECA ECONÓMICA BCE - QUITO | RESUM-020159 (Navegar estantería(Abre debajo)) | Financial Times. 5 feb. 1999, p. 16 | Disponible |
Failure to curb financial turmoil in the wake of its currency devaluation has left the government with few easy options. Brazil is showing the early signs of financial meltdown. What began as an attempt at acontrolled devaluation is turning into a panic. Last Friday, Brazilians queued outside banks to withdraw their savings amid rumours that the government was about to freeze bank accounts. Interest rates have been raised to 39 per cent to steady the Real, which has lost almost 50 per cent of its value since the currency was allowed to float on January 13. So what are the government's options? Broadly, it has three: default, followed by renegotiation of debt; to slash public spending to compensate for higher interest payments; and to reduce the real value of domestic debt by inflation. All are unenviable, to put it mildly.
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