Brasília – Financial institutions approached by the Central Bank of Brazil have expanded their forecast for the growth of the Brazilian economy this year for the second week running. The estimate for expansion of Gross Domestic Product (GDP) was 2.5%. Last year, GDP grew 0.9%, after having grown 2.73% in 2011. For 2014, financial institutions expect lower growth than this year, at 2.13%.
The estimate of financial institutions for the growth of industrial production fell from 1.80% to 1.77% this year, and from 2.39% to 2.50% in 2014. The forecast of financial institutions for the negative result in current account transactions (Brazil’s purchase and sale of goods and services abroad) was maintained at US$ 79 billion this year and dropped from US$ 73.35 billion to US$ 72.7 billion in 2014.
Expectations for foreign investment (funds turned to the productive sector in the country) were maintained at US$ 60 billion both for 2013 and for next year. The exchange rate forecast is R$ 2.25 late this year and R$ 2.40 in late 2014.
*Translated by Mark Ament
