Banco do Brasil slashing service fees

SAO PAULO Mon Oct 8, 2012 11:16am EDT

SAO PAULO Oct 8 (Reuters) - State-controlled lender Banco do Brasil said Monday it will slash its service fees by up to one-third starting next week, marking the latest move to reduce costs in Brazil's financial sector.

Brazil's government has complained that interest rates and service fees at banks are too high, and has used its influence at state-run banks such as Banco do Brasil to coax the whole sector into reducing costs.