Economics Monetary Policy Questions
The Central Bank of Brazil plays a crucial role in monetary policy in Brazil. Its main objective is to maintain price stability and control inflation within a target range. To achieve this, the central bank uses various tools such as setting interest rates, conducting open market operations, and implementing reserve requirements for banks. Additionally, the central bank is responsible for managing the country's foreign exchange reserves and ensuring the stability of the financial system. Overall, the central bank's role is to regulate and control the money supply in Brazil to promote economic stability and growth.