Hyperinflation in Brazil

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Hyperinflation in Brazil was a fourteen-year period of three-to-four-digit annual inflation rates from 1980 until 1994.[1] It coincided with the period of economic crisis and political turmoil triggered by the 1970s energy crisis during the Brazilian military dictatorship until the conclusion of the main processes of the democratic transition in the country in the late-1980s/early 1990s.

The republic went through several short-lived currencies, including the cruzado, cruzado novo, cruzeiro, and cruzeiro real, before introducing the Brazilian real in 1994 which proved to be a stable currency.

Inflation rate[edit]

Between 1985 and 1994, an accumulated inflation rate was estimated to be around at 184,901,570,954.39%[2] caused by uncontrolled printing of money.[3][4] There were many economic plans that tried to contain hyperinflation with zeros cuts, price freeze and even confiscation of bank accounts.[3][5]

The highest value was in March 1990, when the government inflation index reached 82.39%.[3][6] Hyperinflation ended in July 1994 with the Real Plan during the government of Itamar Franco.[7] During the period of inflation circulated through Brazil a total of 6 different currencies, as the government constantly changed due to rapid devaluation and increase in the number of zeros.[7][3]

  • Start and End Date: Jan. 1985 - Mid-Jul. 1994
  • Peak Month and Rate of Inflation: Mar. 1990, 82.39%[6][8]

See also[edit]


  1. ^ The Hyperinflation in Brazil, 1980-1994, from the San Jose State University website
  2. ^ "BCB - Calculadora do cidadão". www3.bcb.gov.br. Retrieved 2019-04-27.
  3. ^ a b c d Araujo, Vitor Hugo Alves de. "A tragédia da inflação brasileira - e se tivéssemos ouvido Mises?". Notas do Vitor. Retrieved 2019-04-27.
  4. ^ Roque, Leandro (2009-06-21). "A tragédia da inflação brasileira - e se tivéssemos ouvido Mises? (Parte 1)". Mises Brasil (in Portuguese). Retrieved 2019-04-27.
  5. ^ "Entenda os planos econômicos Bresser, Verão, Collor 1, Collor 2 e as perdas na poupança". G1 (in Portuguese). Retrieved 2019-04-27.
  6. ^ a b Araujo, Vitor Hugo Alves de. "GRAFICOS-merged.pdf". Retrieved 2019-04-27.
  7. ^ a b "O que foi o Plano Real?". Politize! (in Portuguese). 2017-10-03. Retrieved 2019-04-27.
  8. ^ Araujo, Vitor Hugo Alves de. "Índices de inflação IPCA e INPC desde 1979 até 2019". Notas do Vitor (in Portuguese). Retrieved 2019-05-01.

External links[edit]