Brazil has few options to limit real's surge -official

lunes 15 de agosto de 2016 08:41 GYT
 

BRASILIA Aug 15 (Reuters) - There is not much the Brazilian government can do to halt an appreciation in its real currency that will continue, given high liquidity abroad and less political uncertainty at home, a senior member of the economic team told Reuters.

The government will rely on the reduction of its traditional currency swaps position to limit the pace of appreciation of the real, which has hit local producers already struggling with a recession, said the official, who asked not to be named because he was not allowed to speak publicly.

He said the economic team was not considering direct U.S. dollar purchases or barriers to capital flows that, in the past, had proved harmful. (Reporting by Alonso Soto; Editing by Bernadette Baum)