The head of Brazil's central bank, who took the job only last month, stepped down yesterday, shaking up financial markets and an already fragile economic situation. Mr Francisco Lopes resigned just hours before meeting with senior International Monetary Fund (IMF) officials on a $41.5 billion (€36.6 billion) aid package. Mr Lopes had replaced Mr Gustavo Franco, who himself stepped down on January 13th on the day that the currency, the real, was devalued. It was later allowed to float.

Mr Lopes will be replaced by economist Mr Arminio Fraga Neto, a former government official who once worked with influential financier, Mr George Soros.