TEXT-Brazil central bank leaves benchmark rate at 14.25 pct
BRASILIA Aug 31 (Reuters) - Brazil's central bank held its benchmark interest rate at 14.25 percent for a ninth straight time on Wednesday.
Following is the text of the statement issued by the bank's monetary policy committee, known as Copom:
"The Copom unanimously decided to maintain the Selic rate at 14.25 percent per year, without bias.
The baseline scenario with which the Committee works can be summarized by the following observations:
The set of indicators released since the last Copom meeting shows evidence that the Brazilian economy has stabilized recently. It also points to the possibility of a gradual pick-up in economic activity. The economy continues to operate with a high level of economic slack;
The external outlook still offers a relatively benign environment for emerging economies. However, uncertainties regarding global economic growth and, especially, the pace of monetary policy normalization in the United States, remain;
Current inflation remains under pressure, partly due to food components. Disinflation has evolved more slowly than expected;
Inflation expectations collected by the Focus survey for 2017 fell since the last Copom meeting, but remain above the 4.5 percent inflation target. At longer horizons, expectations have dropped to around that level; and Continuación...