Brazil's central bank says the financial system has the capacity to withstand risks.

The Central Bank of Brazil released its Financial Stability Report for the first half of 2026 on the 27th, stating that the financial system's capital and liquidity levels are adequate and that it has the capacity to withstand adverse scenarios and resist risks. Affected by high interest rates and slowing economic activity, credit growth for households and businesses has slowed, and financial institutions are lending more prudently; the report expects consumers' debt-servicing capacity to remain under pressure in the second half of this year, and the upward trend in risk appetite in the credit card segment persists. Surveys show that about three-quarters of surveyed financial institutions are confident in the financial system.