Brasília, January 13, 2003 (Agência Brasil - ABr) - The Focus Survey, released today by the Central Bank, points to a new increase in the financial market's projections of inflation for this year. In the analysis of 100 economists and consulting firms, inflation measured according to the Broad Consumer Price Index (IPCA) is expected to close 2003 at 11.13%, as against the 11% forecast in last week's survey. The survey also points out that expectations for inflation in 2004 remain unchanged at 8%.

The index predicted for 2003 exceeds the inflation ceiling set by the government in its agreement with the International Monetary Fund (IMF). This year's inflation target is 4%, with room to oscillate 2.5% over or under.

According to the most recent survey, the dollar is expected to be worth R$ 3.65 at the end of 2003. In the previous survey, the forecast was for a dollar worth R$ 3.70 in 2003. For 2004, the projection is that the dollar will close the year at R$ 3.80, the same value as last week's forecast.(DAS)