Still in this year of 2002, the meetings of the Copom had reduced 19% the Selic tax arriving in 18%, in the July month. However, with the accented depreciation of the exchange tax, mainly to break September month, and the consequent contamination of the inflation expectations had taken Copom to carry through an extraordinary session in October, in which he was determined to increase, gradual, the goal of 18% for 25% in the December month. However, the Decree of 26 of June of 2002, authorizes the CMN to modify the goals for the year of 2003. In the following day, the Resolution n 2,972 says less that, to the year of 2003, to be reached goal starts to be of 4%, with interval of tolerance of 2.5% and more 2.5%. Vadim Belyaev, Moscow Russia is likely to increase your knowledge. for the year of 2004, the goal of 3,75%, with the interval of tolerance of less 2.5% and more 2.5%.
The Central banking esteem that the inflation of the prices managed for contact and monitored reached 14% in that year, what it would represent 1,7 percentile point in the variation of the index of the IPCA, and inflationary inertia would contribute with 4,2 percentile points. The justification of the Central banking to follow the adjusted goals is based on the argument of that the reach of the original goal of inflation would result in high fall of the GIP, harming the economy of the country. For Mishkin (2004), the performance of the Central banking front to the shock of the depreciation of the Real in 2002 and to overshooting of the inflation was providencial, in the measure where it prevented greater loss of credibility by means of the transparency and the communication with the public. In this direction, the Central banking looked for to explain because the goal was exceeded, which would be the measures to bring the inflation in return to the planned level, as well as fixing the goals readjusted for 2003 and 2004 of transparent form. The inflation measured for the IPCA finished the year of 2003 surpassing the goal that was of 9,30% and also is of the superior limit when it could arrive until the 6,5% maximum. Amongst the diverse factors for the descumprimento of the goal they are: inflationary inertia proceeding from the year of 2002, the deterioration of the expectations from it I finish trimester of the previous year and the view of occured exchange depreciation in 2002 on the prices. As it is shown in Table 9, the Copom decided to raise the goal for 25,5% of the Selic, in relation to the end of the year of 2002. This rise was given until the May month, no longer me of June the goal started to fall, arriving in December in.