BRASIL: Mantegna Claims Inflow Tax Will Prevent Bubble.

BLOOMBERG/
Brasil's Finance Minister Guido Mantega believes the nation's 2 percent tax on capital inflows will help prevent the formation of an asset “bubble.”
The tax on foreign purchases of equities and fixed-income securities was added last month to fend off “excess speculation.” The country’s currency and stocks have had record rallies this year.
The so-called IOF levy has been “sufficient” in eliminating “excessive interest in Brasil capital markets, Mantega believes.