Brazil’s finance minister has vowed to hold down the value of the real and enact new measures to protect domestic industries, in an attempt to revive the country’s slumping economic growth.
“We don’t want to lose our manufacturing sector,” Guido Mantega told the Financial Times in an interview. “Brazil is not merely an exporter of commodities.
“We are not going to just sit by and watch while other countries devalue their currencies to give them a competitive advantage.”
The centre-left government of Dilma Rousseff, the president, has staked its popularity on its ability to deliver high growth, taking pride in its membership of the Bric club of fast-growing emerging nations that includes Russia, India and China.
But like China and India, the country`s economy is slowing. In Brazil`s case an influx of cheap imports, especially from China, has punished its manufacturing sector…