(Adds Goldfajn comment, background on spreads)
BRASILIA Feb 7 The Brazilian central bank is
working to reduce bank lending spreads sustainably and pave the
way for lower interest rates in the long run, said its chief,
Some of the measures have already been announced, but others
are still in the works, including regulatory changes to improve
credit guarantees and reduce the share of subsidized lending in
the Brazilian credit market, Goldfajn said on a panel on
Spreads had dropped under former president Dilma Rousseff's
administration, before Brazil's economic crisis, but that
decline was not sustainable, Goldfajn added.
"Our objective going forward is to have credit growing along
with the rest of the economy, in a sustainable way over time,"
Goldfajn said during his opening speech.
Brazil has long had one of the world's highest interest
rates among major economies after going through many episodes of
hyperinflation over the past century. The spread for
non-earmarked loans reached 40.2 percent in December, according
to central bank data last month.
(Reporting by Silvio Cascione and Marcela Ayres; Editing by
Lisa Von Ahn)