Brazil to Reduce Diesel Price to Stimulate Economy, Estado Says

By Laura Price
April 15 (Bloomberg) -- Brazil’s government will reduce the price of diesel to help boost the country’s economy, O Estado de S. Paulo reported, without saying where it got the information.
Brazilian Cabinet Chief Dilma Rousseff confirmed the decision to lower diesel costs at a meeting with truck drivers yesterday, the newspaper said. Prices may be cut next month, Rousseff said, adding that a 30 percent reduction demanded by the drivers wouldn’t be possible, according to Estado.
Diesel costs about 2.20 reais ($1) a liter at the pump in Brazil, the newspaper reported. Prices were raised by 15 percent last May, it said.
Brazil’s chief of staff’s office refused to confirm the price cuts when contacted by Bloomberg News by telephone today.