Rio de Janeiro – Growth of the Gross Domestic Product (GDP) of Brazil should be well below the 7.5% registered in the previous year, according to a document disclosed on Friday (13) by the Institute of Applied Economic Research (Ipea). To the researchers, the aftermath of the European crisis may continue defining the routes of the Brazilian economy this year. The Ipea statement shows that this influence is being felt despite maintenance of the solid fundaments that allowed the recovery of Brazil in the 2008 financial crisis.
Last year, the crisis on the old continent, aligned with other factors, like the “exchange rate that continued appreciating in 2011, tighter monetary control, a more conservative fiscal policy in 2011 than in 2010 and undesirable accumulations of stocks, caused business and consumer expectations for the future behaviour of the economy to raise uncertainty,” says the document.
In the third quarter of 2011, the GDP did not present growth, according to figures supplied by the Brazilian Institute for Geography and Statistics (IBGE). The Ipea statement recalls that this is the worst result for the Brazilian economy since the first quarter in 2009, registering great deceleration over the equal previous period, when GDP had grown 0.7%.
“With this, the average rate of expansion over the last five quarters has dropped to 0.6%, increasing the contrast as against the performance observed in the period that marked recovery of the economy over the technical recession caused by the global financial crisis, when the GDP grew at an average rate of 2.1%,” says the statement.
*Translated by Mark Ament
