Brazilian Industry Raises Brazil’s 2006 GDP Growth Estimate to 3.7%

The Brazilian National Confederation of Industry (CNI) raised its estimate for this year’s growth in Brazil’s Gross Domestic Product (GDP), the sum of wealth produced in the country, to 3.7%

According to the analysis presented in the Conjunctural Bulletin published Thursday, April 27, the economy will be driven primarily by industry, which is expected to grow 5%.

The forecasts made by the CNI at the end of last year projected increases of 3.3% and 4.2%, respectively, for the GDP and industry.

The bulletin also contends that growth in 2006 will be based on the domestic market, unlike what occurred in previous years, when exports determined the outcome. It is estimated that consumption by families will increase 4.5%, in consequence of lower interest rates and higher incomes.

The reduction in March of the Long-Term Interest Rate (TJLP) to 8.15% per annum, together with the prospects of more dynamic industrial activity, should stimulate companies to make investments, the document goes on to say.

An 8.2% increase in investments is projected. At the end of last year, the CNI estimated investment growth to be 6.5% in 2006.

The CNI expects exports and imports this year to total US$ 130 billion and US$ 89 billion, respectively, resulting in a trade surplus of US$ 41 billion. At the end of last year, the confederation forecast a US$ 43.5 billion trade surplus.

What is happening is that imports are growing at a faster pace than exports. "In the first quarter of 2006, imports amounted to US$ 20 billion, 24% more than in the first quarter of 2005," the document affirms. During the same period, exports expanded 20.2%, to US$ 29.4 billion.

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Your email address will not be published.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

New World Sonority

Organized over the Internet, gringo sambistas from 19 countries invaded the Sambadrome in Rio ...

Brazil Champions Animal Welfare at International Conference

The Abef (Brazilian Poultry Exporters Association) went to Cairo, Egypt, from October 20 to ...

Brazilian beef ready to export

Despite Weak Dollar Brazilian Exports to Arabs Grow 16%

Brazil has posted a 16.15% increase in exports to the Arab in the accumulated ...

Five Years Without Ayrton

It doesn’t seem like five years since that fatal crash at the Tamburello curve ...

Industry Revises Brazil’s Growth Up. GDP Expected to Grow 3.7%.

Brazil’s National Confederation of Industries (CNI) has increased its forecast for the growth of ...

Amazon’s Belo Monte Dam’s Auction Goes Ahead & Indians Invade Construction’s Site

The bidding process for the controversial Belo Monte Dam project went ahead today and ...

Brazil and Paraguay Border Areas to Be Helped by Rural Accord

On Friday, March 10, during the 2nd International Conference on Agrarian Reform and Rural ...

Helping Uruguay American Senator Hopes to Force Brazil to Do More Business with US

Richard Lugar, the ranking Republican on the Foreign Relations Committee in the US senate, ...

2009, a Banner Year for Brazilian Stocks (Up 83%) and the Real (Up 34%)

Brazil’s stocks performance in 2009 has been one of the highest in the world ...

Brazilian Troops Suffer Several Gang Attacks in Haiti

Brazilian troops will continue to carry out routine activities and fortify their positions in ...