The Economic Climate Index (ICE), measured by the Getulio Vargas Foundation (FGV), rose 2.1 points in Brazil in the second quarter of this year and reached 62.7 points, on a scale from 0 to 200 points.
Brazil and Uruguay, the latter with an increase of 14.2 points, were the only ones of the ten Latin American countries analyzed by the survey to show growth in the second quarter, in comparison with the first.
On average, Latin America fell by 11.7 points in the period, according to the survey. The other countries oscillated between declines of 5.5 points in Bolivia and 27.9 points in Argentina.
The ICE is calculated based on information provided quarterly by experts in the economies of their respective countries.
The rise in the index in Brazil was driven by the Current Situation Index, which measures the assessment of the present and which rose 14.6 points, reaching 30 points. The Expectations Index, which measures the future, dropped 15.4 points, but remained in the center of the scale, with 100 points.
Despite showing a rise, the country’s ECI (62.7 points) is still below the Latin American average (67.3 points). The Brazilian indicator is also the third lowest among the ten Latin American countries, surpassing only Argentina (39.1 points) and Chile (46 points).
The other countries present the following indices: Peru, 63.4 points; Bolivia, 65.9; Mexico, 66.2; Ecuador, 72.1; Paraguay, 91.2; Colombia, 95.7; and Uruguay, 149.6.
GDP
The study also released expert forecasts for the 2022 GDP of the countries surveyed. The growth estimate for this year in Brazil rose from 0.7% in the first quarter to 0.8% in the second quarter.
Despite the new forecast, Brazil has the lowest rate among the surveyed nations. On average, Latin America should grow 2%. The other rates vary between 4.3% in Colombia and 1.2% in Paraguay.
For experts, the main problems for the country’s economy are lack of innovation, lack of confidence in economic policy, inadequate infrastructure, increasing income inequalities and lack of international competitiveness.
