Lula celebrates GDP result, says Brazil is on "right track"
President Luiz Inácio Lula da Silva celebrated on Tuesday (Jun. 4), the increase in the Gross Domestic Product (GDP)—the sum of all goods and services produced in the country—for the first quarter of 2024. The GDP grew by 0.8 percent compared to the last quarter of 2023, following two consecutive quarters of stability.
“The GDP advanced in the first quarter of this year, driven by increased household consumption and services,” said the president, citing data released by the government´s statistics agency IBGE. Over the past 12 months, the economy has grown by 2.5 percent, and in current values, the GDP stands at BRL 2.7 trillion.
"Another piece of good news is that, according to the IMF's [International Monetary Fund] forecast, Brazil will move up to 8th in the world GDP rankings. This is further proof that we are on the right track," added Lula on his profile on the X social network.
Compared to the previous quarter, i.e. the last three months of 2023, the 0.8 percent rise in GDP in 2024 represents a recovery, after the 0.1 percent drop recorded at the end of last year. This 0.8 percent increase is the highest since the second quarter of 2023, when the economy grew by 0.9 percent.
In a statement, the Ministry of Finance attributed the quarterly results to higher-than-expected growth in the services sector GDP, driven by increased income, credit concessions, and the payment of court-ordered debts. "The results exceeded the median of market forecasts and aligned with the projections of the Secretariat for Economic Policy," the statement noted.
