Brasília – The estimates by economists and financial institutions consulted by the Central Bank (BC) for the Gross Domestic Product (GDP) this year increased again, as per the Focus Readout. This Monday’s (30) report projected a growth of 1.17% in 2019, up from 1.16% projected last week. The 2020 projection was up from 2.28% to 2.30%.
As to inflation, the estimate for the Extended National Consumer Price Index (IPCA) increased for the eighth time running, from 3.98% to 4.04% in 2019. For 2020, the inflation estimate increased slightly to 3.61% after having remained at 3.60% for eight weeks. The projection for the following years remained 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. The previous estimate was 6.25% per annum. As for the end of 2022, the projection remains at 6.5% per annum. The projection for the dollar exchange rate stood stable at BRL 4.10 by late 2019 to BRL 4.10 by late 2020.
Translated by Guilherme Miranda
