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Brazil budget bill projects 2.56% GDP growth in 2027

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According to estimates in the 2027 Budget Guidelines Bill (PLDO), submitted to Congress on Wednesday (Apr. 15), Brazil’s economy (GDP) is expected to grow 2.56 percent next year.

The bill also forecasts a drop in official inflation, as measured by the Broad National Consumer Price Index (IPCA), to 3.04 percent in 2027, compared to the 3.74 percent estimated for this year.

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Regarding the IPCA, the projection for next year falls within the continuous 3 percent target set by the National Monetary Council (CMN), with a tolerance margin of 1.5 percentage points. Within this range, inflation could vary between 1.5 percent and 4.5 percent next year without breaching the target.

The bill also projects the Selic, the economy’s benchmark interest rate, at 10.55 percent per year in 2027, compared with the current 14.75 percent.

The text sent to Congress projects an average exchange rate of BRL 5.47 for 2027. Although oil is currently trading at around USD 100 per barrel, the bill estimates the commodity’s average price - used to project federal government royalty revenue - at USD 67.69 next year.

Brazilian ex-congressman Ramagem released after 2 days in US custody

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Former federal congressman Alexandre Ramagem was released on Wednesday (Apr. 15) after spending two days in custody in the United States, where he is wanted by Brazilian authorities.

On Monday (13), Ramagem was approached by agents from US Immigration and Customs Enforcement (ICE) and detained in Orlando, Florida.

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The former lawmaker is no longer listed in the region’s detention records.

The reasons for Ramagem’s release were not disclosed by US authorities.

Ramagem is the subject of an extradition request filed by the Brazilian government with US officials.

Escape

In September last year, Alexandre Ramagem, former director of the Brazilian Intelligence Agency (ABIN), fled the country to avoid serving a 16-year prison sentence for his role in the coup plot during the administration of former President Jair Bolsonaro.

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