Brazil's Lula nominates Bradesco head trader as central bank monetary policy director
Recasts with further information, context
By Marcela Ayres
BRASILIA, Nov 29 (Reuters) - Brazilian President Luiz Inacio Lula da Silva nominated Nilton David, head trader at Bradesco BBDC4.SA bank, to serve as the next monetary policy director at the central bank starting in January, the institution said on Friday.
The appointment was accompanied by two additional nominations, all ofwhich must still be confirmed by the Senate. They will mark a shift in the makeupof the nine-member committee responsible for setting borrowing costs, as Lula's picks will secure a majority starting next year.
According to the central bank statement, Lula selected Gilneu Vivan, the current head of the central bank's financial system regulation department, to succeed Otavio Damaso as director of regulation.
Additionally, Izabela Correa, currently public integrity secretary at the Comptroller-General Office, was chosen to replace Carolina Barros as director of institutional relations.
A law granting the central bank autonomy, passed in 2021, decoupled the terms of the president of the republic from those of the central bank's top officials.
Currently, the committee is made up offour members chosen by Lula and five by his predecessor, former right-wing President Jair Bolsonaro. The balance will shift to 7-2 in January.
If confirmed by senators, David will replace Gabriel Galipolo, who is set to take over as central bank governor from Roberto Campos Neto, also in January.
Before joining Bradesco, David served as head of the Brazil andMexico trading desk at Morgan Stanley and has also held positions at institutions such as Canvas Capital, Citi and Barclays.
Lula has been a vocal critic of Campos Neto since taking office last year, with members of his Workers Party repeatedly calling for interventionin the foreign-exchangemarket to mitigate the sharp depreciation of the country's currency - a decision currently overseen by Galipolo and soon to be handled by his successor.
Focus has largely centered on the monetary policy role, as it oversees the foreign-exchange desk and is typically filled by someone with extensive financial market experience.
Reporting by Marcela Ayres; Editing by Kylie Madry
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
