Brazilian Central Bank Chief Supports Partial IOF Tax Reversal

Brazil's Central Bank President Supports Partial IOF Tax Revision Brazil's Central Bank president, Gabriel Galípolo, publicly voiced his support for Finance Minister Fernando Haddad's decision to partially roll back a recent increase in the IOF tax. The announcement came during a press conference, and Galípolo revealed he only learned of the decision at that time. He stated, "Using a euphemism, I never had much sympathy for the idea, to say I didn't like it." This statement highlights a potential internal disagreement within the Brazilian government regarding economic policy. The partial revision of the tax increase is expected to impact financial markets and the broader economy. Galípolo's comments add a layer of complexity to the situation, revealing that the decision was not universally supported within the government. The IOF tax increase was initially met with criticism from various sectors, and this partial reversal is likely to be seen as a response to those concerns. The situation underscores the ongoing challenges facing the Brazilian government in balancing economic growth with fiscal responsibility.