Brasilia – Brazil’s economy is expected to grow 1.91% this year. The forecast is part of a weekly consultation made by the Brazilian Central Bank (BC) with various financial institutions. Last week, the forecast had been announced at 2%. For 2015, the expected growth in the Gross Domestic Product (GDP), sum of all goods and services produced in the country, dropped from 2.50% to 2.20%.
The International Monetary Fund (FMI), however, forecasts an increase by 2.3% in the Brazilian GDP this year, and by 2.8% in 2015, according to the latest World Economic Outlook update, released last week.
The industrial production estimates were maintained at 2.2% this year and adjusted from 2.89% to 2.95% for 2015.
Financial institutions’ forecasts for the public debt and GDP ratio continues at 34.8% in 2014, and 35% in 2015.
Still according to the BC research, the expected trade balance surplus (exports minus imports) dropped from US$ 9.1 billion to US$ 8 billion this year. For 2015, forecasts remain at US$ 12 billion.
On the other hand, the current transactions deficit (register of buying and selling transactions of goods and services between Brazil and abroad), was adjusted to from US$ 72.15 billion to US$ 73 billion in 2014, and from US$ 70.6 billion to US$ 71.45 billion in 2015. The dollar exchange rates continue at R$ 2.45 this year, and R$ 2.50 in 2015.
For 2014, Brazilian financial institutions forecasts on foreign direct investments (FDI) have dropped from US$ 60 billion to US$ 57.5 billion. In 2015, the forecast remains the same as before, at US$ 60 billion. In 2013, FDI in Brazil added up to more than US$ 64 billion.
*Translated by Silvia Lindsey with information from the ANBA newsroom
