IMF raises Brazil growth forecast for 2017
Internationa Monetary Fund increased the estimated expansion of the country's gross domestic product (GDP) from 0.2% to 0.3%.
As a result of a solid first quarter, Brazil had its growth forecast raised by the International Monetary Fund (IMF). In a report released Monday (Jul 24), the Fund increased the estimated expansion of the country's gross domestic product (GDP) from 0.2% to 0.3%.
The estimated growth for 2018, however, was cut from 1.7% to 1.3%. The increase in the political instability will put off economic growth, the Fund maintains.
“In comparison to the [report for] April 2017, Brazil’s growth forecast for 2017 is now higher in light of the strong first quarter, but ongoing weakness in domestic demand and an increase in political and policy uncertainty will be reflected in a more subdued pace of recovery, and hence in lower projected growth in 2018” the IMF reported.
The estimates for 2018 by the IMF, however, are more pessimistic than those calculated by the financial market. According to the Central Bank, financial institutions forecast an expansion of 2% in the GDP next year.
Translated by Fabrício Ferreira
Fonte: IMF raises Brazil growth forecast for 2017
