Brazilian economic activity fell by 0.11% in May, compared to April, according to data released today (14) in Brasília by the Central Bank (BC). This is the second consecutive month of decline in the Central Bank’s Economic Activity Index (IBC-BR), an indicator considered as a preview of the Gross Domestic Product (GDP).
In April, the IBC-BR had already presented a decrease of 0.44% in comparison with March, when there was a rise of 1.09%. Year-to-date, the IBC-Br stood at 2.08%. In 12 months, it accumulates a high of 2.66%.
The data are seasonally adjusted, that is, they disregard differences in holidays and fluctuations in economic activity, typical of certain times of the year.
The IBC-BR it is a way of evaluating the evolution of Brazilian economic activity and helps the BC to make decisions about the basic interest rate, the Selic, currently set at 13.25% per year.
The indicator incorporates information on the activity level of the three sectors of the economy: industry, commerce and services and agriculture, in addition to the volume of taxes.
According to the BC, the IBC-Br ended the quarter with a positive variation of 0.92%, also considering seasonally adjusted data. In comparison with May 2021, the Economic Activity Index increased by 3.74%. Thus, it reached 141.97 points.