• Categories
  • Archives

Latest Revised Official Numbers See Brazil Growing a Mere 1% in 2009

Brazilian sandals The economic authorities in Brazil have again downgraded the economy's growth forecast for this year which will now be 1%, according to the bi-monthly Budget reassessment from the Planning Ministry.

Only a week ago Finance Minister Guido Mantega had admitted for the first time the economy would contract and mentioned "in the range" of 2% of GDP, which he described as a "technical recession" because of two running negative quarters.

However the Brazilian Central Bank had already advanced an estimate of 1.2%.

"In the current scenario of global economic retraction a review of real GDP growth in 2009 was needed," said the release from the Planning ministry. This is the ministry's second report of the year. The first report estimated GDP growth, on which the federal budget is planned, at 2%, but has now been lowered to 1%.

Before the current global crisis triggered last year, the Brazilian government was forecasting 4.5% GDP growth for 2009, which already was below the estimated 5% on which the Growth Acceleration Program (PAC), – an ambitious infrastructure development plan -, had been forecasted.

But following the 3.6% contraction of the first quarter of 2009, the Budget reassessment lowered the target to 2%. The Brazilian economy in 2008 expanded 5.1%. The IMF estimates Latinamerica's largest economy will contract 1.3% in 2009.



  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.


You May Also Like

Is Elis & Tom, Special Edition, Worth the Trouble?

How many people will want to pay for a DVD-CD combo when their equipment ...

US$ 24,000: The Price to Kill an American Nun in Brazil

Amair Feijoli da Cunha, aka "Tato," a landowner in the Anapu region of the ...

Brazil Cuts Own Flesh to Pay Interest on Close to Half a Trillion Dollars Debt

Brazil government’s debt rose in August from US$ 430.279 billion (971.7 billion reais) to ...

World’s Love for Coffee Feeds Brazil’s Realcafí©

The Brazilian soluble coffee factory Realcafé, from the state of EspÀ­rito Santo, in the ...

Dr. Menges, I Apologize for My Fellow Brazilians

The "new axis of evil," which late American scholar Constantine Menges predicted and all ...

Brazil’s Chief of Staff Scolds Inflation-Mongers

The head of the Presidential Civilian Advisory Staff, Minister José Dirceu, criticized some people’s ...

Violence and Corruption: Double Challenge for a Prosperous Brazil

The numbers from the IBGE (Brazilian Institute of Geography and Statistics) are impressive: Brazil ...

China Will Finance Brazil’s Deep-Sea Oil Extraction

The Brazilian government signed an agreement to supply China with 100,000 to 160,000 barrels ...

US Shrimp Task Force on the Side of Brazil

Thousands of consumers and family-owned businesses are awaiting a decision by the U.S. Department ...

Analysts Lower Expectations to a 3% GDP in Brazil

The stagnation of the Brazilian domestic economy in the second half of the year ...