Political instability main risk for Brazilian banks – central bank

Financial system has expanded credit without increasing risk, Central Bank of Brazil says

The Central Bank of Brazil
Photo: Central Bank of Brazil

Political risk has become the main concern for Brazilian financial institutions, according to the financial stability report published by the Central Bank of Brazil on October 3.

“Research conducted with financial institutions points out that political risk and the international scenario are the main issues of concern,” says the report. “But institutions maintain confidence in the ability of the financial system to absorb shocks.”

On October 7, the first round of the presidential elections

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