Brazil: Power Rates to Increase

Brazil’s electricity regulator granted utilities bigger rate increases than analysts had forecast, raising concern that inflation may accelerate. Companhia Energética de Minas Gerais, the country’s largest combined power generator and distributor, can raise prices 21% while Companhia Paulista de Força e Luz, which serves São Paulo state, can boost rates 9%. The Central Bank is trying to lower inflation, which hit 7.4% in the 12 months through February.