Like any fixed exchange-rate system, a currency board offers the prospect of a stable exchange rate, which can promote both trade and investment.

ECONOMIST: The ABC of a currency board

Moreover, the Central Bank is likely to welcome the strengthening of the BRL, as appreciation can help ease some of the building inflationary pressure that higher food prices and a stable exchange rate were allowing to flow through to the economy.

FORBES: Barclays: Brazil's Currency Powering to 1.50