Brazil’s economy is forecast to slow down in Q4 2024, with a projected growth of 0.5%, down from 0.9% in Q3. Private consumption and investment declined, while government spending provided some stability. Projections are optimistic for 2024 and 2025, despite increasing concerns about fiscal policies and inflation.
Brazil’s economy is projected to have experienced a slowdown in growth during the final quarter of the previous year, primarily due to diminished private consumption and investment. According to a Reuters poll conducted from February 26 to March 3 involving 21 economists, the economy is expected to have grown by 0.5% in October to December 2024 versus the third quarter, which recorded a growth of 0.9%. The annual growth rate is anticipated at 4.1%.
Brazil’s economic growth is facing headwinds from reduced private consumption and investment, with the forecast indicating a modest increase of 0.5% for the final quarter of last year. Despite this deceleration, factors such as government spending and favorable conditions in specific sectors like agriculture may contribute positively to GDP. The long-term growth forecasts for 2024 and 2025 indicate optimism, tempered by fiscal concerns and rising inflation projections.
Original Source: money.usnews.com
