Brazil's Haddad sees interest rate cuts coming in 'consistent, sustainable' way

Brazil's finance minister said on Monday he believes the country's central bank will begin cutting interest rates in a "consistent and sustainable way," but did not specify when he expects a monetary easing cycle to start.

Speaking at an event hosted by BTG Pactual, Fernando Haddad said high borrowing costs cannot be solely explained by fiscal concerns. He added that Brazil's economy must grow in order to address its fiscal challenges.

Last week, the country's central bank held its benchmark interest rate at a near two-decade high of 15% as its seeks to bring inflation back to its 3% target, and signaled it would keep it unchanged for a long time.