NY -- Standard&Poor's CreditWire 6/19/96 -- Standard&Poor's today has assigned its double-`B' local currency credit rating to the Federative Republic of Brazil's debt. Also, Standard&Poor's has affirmed its single-`B'-plus rating on Brazil's foreign currency debt. The outlook on both ratings is positive. Brazil's higher local currency rating acknowledges: -- The government's greater capacity to service real-payable debt, owing to its powers of taxation and control over the domestic monetary system; -- Sharp disinflation since the introduction of the Real Plan two years ago, and in particular the Central Bank's track record, albeit short, of maintaining a tight monetary policy to dampen inflationary pressures and compensate for lax fiscal policy. The local and foreign currency
