• Categories
  • Archives

Brazil Guarantees: Growth Will Be Over 4% in 2004

Brazilian economic growth this year is guaranteed and will be over 4%, said minister of Planning, Budget and Management, Guido Mantega, speaking at a forum on XX century Brazilian social problems.

The minister said he was forecasting industrial sector growth of 5% or 6%, with installed capacity use up while production costs were down.


That, he said, would mean more productivity which will translate into bigger profit margins for businesses. All of which led the Minister to say that he saw no reason for price increases.

“Businesses are in a comfortable position. There is no reason for them to raise prices,” declared Mantega, adding that inflation is under control and the country will continue to grow even if interest rates rise.

The Minister also said that the government intends to continue supporting the export sector through incentives. He said there was no supply problem and that both foreign and domestic demand can be taken care of.


Inflation during the period between July 14 and August 13, gauged by the Getúlio Vargas Foundation’s (FGV) Consumer Price Index (IPC-S), was 0.80%, 0.04% higher than for the previous period.

According to the FGV’s Brazilian Economics Institute (IBRE), the Food and Housing groups exerted the biggest impact on the index. Together, the two groups accounted for 78% of the composition of the IPC-S during the period.

The food group rose from 0.74% to 1.06%, led by vegetables and legumes (7.39%), sweeteners (5.83%), and fish (0.74%), among other items that experienced price increases.


Their aggregrate weight in family food expenditures in the 12 capitals covered by the survey was 57%.

The FGV economists explained that the Housing group, even though it showed deceleration, declining from 1.25% to 1.02%, exerted the biggest single influence on the IPC-S, on the order of 0.32%.

Among the 12 capitals surveyed, inflation accelerated in 7. The highest rate was registered in Recife (1.38%), and the lowest, in Fortaleza (0.19%).

Agência Brasil

Tags:

  • 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Your email address will not be published.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.

Ads

You May Also Like

Brazil’s Countdown to Copenhagen

Brazil has followed a long and winding road to reach the Fifteenth Conference of ...

Intimist Minimalist

The debate over affirmative action is encouraging. If nothing else, it forces people in ...

Anorexic Model Death Leads Brazil to Crack Down on Thinness

In a quick response to the death from anorexia of Brazilian model Ana Carolina ...

How to Become a Carioca

Postcards from Rio People are not pedestrians here, they are targets. Traffic signals are ...

5% More Jobless in Brazil

Brazil’s unemployment rate went up from 10.2% in January to 10.6% in February, the ...

Brazil Unveils Ambitious Plan to Fight Climate Change

A plan to tackle climate change and minimize its impacts in Brazil has been ...

Brazilian Cinema: Lula on Screen in Oxford

It looks as if I won’t be able to make the first of the ...

Brazil’s Lula Reaffirms Commitment to Family Vouchers

Brazilian President Luiz Inácio Lula da Silva reaffirmed Saturday, June 4, his commitment to, ...

Brazilian Indians Let All Hostages Go After Protests Against a Dam

A group of Brazilian Indians who had occupied the construction site of a hydroelectric ...

When Is Tithe Time This Brazilian Church is Asking: Credit or Debit Card?

Starting Monday, October 6, parishioners from a Catholic church in Brazil will be able ...