UPDATE 1-Brazil BNDES chief says sustainable FX rate is 2.2-2.35/dlr
RIO DE JANEIRO Aug 22 (Reuters) - Brazil's BNDES development bank chief Luciano Coutinho, a close advisor of President Dilma Rousseff, said on Thursday that a "sustainable" exchange rate for the country would be between 2.2 and 2.35 reais per dollar.
Within that range, the real would benefit exporters without causing excessive inflation pressure, he told reporters at an event in Rio de Janeiro.
The real currently trades at around 2.44 per dollar after a recent selloff drove it to its lowest level in nearly five years, adding to inflation concerns in Latin America's largest economy.
"I believe at some point the currency will stabilize. There is some overshooting in the exchange rate, but we need to keep calm because we have good fundamentals," Coutinho said, citing the country's $370 billion in foreign reserves.
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