Feb 26, 2008. /Lesprom.com/. The Brazilian furniture sector faced difficulties in 2007 due to changes in financial markets. Exports suffered because of the weakening US dollar, reorienting sales to the domestic market, ITTO reported. Projections for the furniture sector for 2008 suggest low inflation and a continuous decline of the prime interest rate. According to the Sao Paulo Industry Federation (FIESP), it is expected that the prime interest rate (SELIC) will be reduced at least 2.0 percentile points by the end of 2008 (and it is currently at 11.25% annually). A reduction in the rate will have a direct impact on credit lines for consumers as well. The potential growth of the civil construction and real estate markets will also have a strong positive impact on the furniture sector since new or remodeled houses encourage consumption of new furniture, noted FIESP. Consequently, the prospects for the sector are promising.