Inflation in Brazil is expected to ease further this year and near the mid-point of the central bank's 3% target by mid-2026, President Luiz Inacio Lula da Silva said in a written message to Congress on Monday.

Brazil President Luiz Inacio Lula da Silva is already staring down rising food prices, deepening investor skepticism and falling approval ratings. Now he’s getting another challenge: A change in congressional leadership that will test his ability to navigate the country’s conservative legislature.

Brazil’s House and Senate elected new leaders on Saturday who promised independence from the administration of President Luiz Inacio Lula da Silva during their two-year terms, which will be the final stretch of Lula’s presidency.