How Selic affects everything in your life Selic is the basic interest rate for the Brazilian economy. The acronym stands for “Special Settlement and Custody System”, but, in practice, it represents the interest charged between banks and serves as a reference for various fees applied to the consumer. When Selic rises, credit becomes more expensive. This reduces loans, investments and hiring, cools consumption and helps contain inflation. When it falls, credit becomes cheaper and stimulates investments, hiring and consumption. In this video, you will understand how Selic affects your life — and sometimes you don't even realize it. Every week, g1 Explains simplifies the economy, the financial market and financial education, showing how all of this affects your pocket.
What is the Selic rate — and how does it affect interest, employment and investments
How Selic affects everything in your life Selic is the basic interest rate for the Brazilian economy. The acronym stands for “Special Settlement and Custody System”, but, in practice, it represents the interest charged between banks and...
This reduces loans, investments and hiring, cools consumption and helps contain inflation. When it falls, credit becomes cheaper and stimulates investments, hiring and consumption.
- In this video, you will understand how Selic affects your life — and sometimes you don't even realize it.
- Every week, g1 Explains simplifies the economy, the financial market and financial education, showing how all of this affects your pocket.
Editorial reading aid based only on information contained in this story and its identified source.