The Brazilian market calculates that the growth of the economy in the country will be 1.20 percent in 2022, almost double what was forecast at the beginning of May, the Central Bank of Brazil reported on Monday. Brazil.
Inflation calculations continue to be pessimistic due to the current situation in the world due to the war between Russia and Ukraine and it is expected that Brazil ends with a close to 8.89 percent, one percentage point more than forecast at the beginning of May and more than double the target set by the Issuer.
The experts lowered their projections for the growth of the economy of the South American giant in 2023, which fell from the 1.0 percent forecast a month ago, to the 0.76 percent registered in the most recent edition of the Focus bulletin, released this Monday by the Issuer.
The bulletin, which compiles the opinions of market experts and is usually released every week, had not been published for a month due to a strike by Bank officials and its last edition was on May 2 last.
At that time, economists calculated that the country’s economy would grow only 0.70 percent in 2022, almost half of what they project now, but, apparently, the results of the first quarter of the year changed their expectations.
Between January and March, the Brazilian economy grew close to 1.0 percent compared to the last three months of 2021, driven by the good performance of the services sector after the end of all the restrictions imposed during the coronavirus pandemic.
Thus, the Brazilian GDP was 1.6 percent above the level of the fourth quarter of 2019, prior to the pandemic, but remains 1.7 percent below the highest point of economic activity, registered in the first quarter of 2014.
In 2021, the economy of the South American power grew by 4.6 percent, its highest rise in the last decade and offset the historic drop it suffered in 2020 due to covid.
