Glossary
What is the SELIC Rate?
Brazil's benchmark interest rate
Definition
The SELIC is Brazil's benchmark overnight interest rate, set by the Banco Central do Brasil's monetary policy committee (Copom). It anchors borrowing costs across the economy — from government bonds to consumer loans — and is the country's main tool for controlling inflation.
Why it matters
A higher SELIC cools inflation and tends to strengthen the real (BRL) by attracting capital; a lower SELIC stimulates growth. It is the single most-watched number in Brazilian markets.