Economists and financial institutions consulted by the country’s Central Bank estimate that the Brazilian economy should have ended 2019 with a growth of 1.17%. As for 2020, the projection is for a 2.30% Gross Domestic Product (GDP) expansion.
As to inflation, the estimate for the Extended National Consumer Price Index (IPCA) increased for the eighth time running, to 4.04% in 2019. For 2020, the inflation estimate increased to 3.61%. The projection for the following years remains at 3.75% for 2021 and 3.50% for 2022.
The benchmark interest rate, known as Selic, is currently at 4.5% per annum designed by the Monetary Policy Committee (Copom) and, according to the financial institutions, should remain at this level until the end of the year. The institutions estimate that Selic will end 2021 at 6.38% per annum. As for the end of 2022, the projection remains at 6.5% per annum.
Original Story: Brazilian Arab News Agency |Agência Brasil
Photo: Photo by Bruno Leiva /FreeImages.com
Edition: Prime Yield