{"id":202348,"date":"2018-10-09T10:30:28","date_gmt":"2018-10-09T13:30:28","guid":{"rendered":"https:\/\/anba.com.br\/?p=202348"},"modified":"2018-10-11T19:46:09","modified_gmt":"2018-10-11T22:46:09","slug":"imf-revises-down-brazilian-gdp-forecast","status":"publish","type":"post","link":"https:\/\/anba.com.br\/en\/imf-revises-down-brazilian-gdp-forecast\/","title":{"rendered":"IMF revises down Brazilian GDP forecast"},"content":{"rendered":"

Bras\u00edlia \u2013 Brazil\u2019s Gross Domestic Product (GDP) should see weaker growth in 2018 and 2019, according to a forecast update brought by the report World Economic Outlook of the International Monetary Fund (IMF), released this Tuesday (09).<\/p>\n

The estimate for the GDP growth came in at 1.4% for this year, down 0.4 percentage point over July\u2019s forecast. For 2019, the GDP growth forecast was revised down 0.1 percentage point to 2.4%.<\/p>\n

According to the IMF, the Brazilian economy will grow this year and the next carried by the recovery of private demand. In the report, the Fund mentions the impact of the truckers\u2019 strike (picture above)<\/em>, at the end of May, in the GDP forecast for this year being revised down in comparison to April\u2019s estimate.<\/p>\n

\u201cThe projected growth for 2018 is weaker than in April\u2019s report in 0.9 percentage point due to interruptions caused by the truckers\u2019 strike throughout the country and tightening external financial conditions, which are a source of risk for the outlook,\u201d says the report.<\/p>\n

For the IMF, inflation should reach 3.7% this year and 4.2% in 2019. The Fund expects food prices inflation to come in stronger, after a decline caused by an extraordinary crop in 2017.<\/p>\n

The Fund expects the monetary policy to remain accommodative, with the unemployment rate to remain high and the inflation rate to increasingly grow towards the target, which should still be pursued by the Brazilian Central Bank (BC). The IMF\u2019s forecast for the unemployment rate is of 11.8% in 2018 and of 10.7% in 2019.<\/p>\n

In the report, the IMF added that fiscal consolidation is a priority for Brazil. \u201cThe reform of the pension system is crucial to ensure sustainability and justice, since pension costs are high and rising and retirement pensions are improperly generous to some sectors of the population,\u201d states the document.<\/p>\n

The IMF also supports an increase in budget flexibility. \u201cIt will also be necessary to keep controlling the government\u2019s wage bill, integrating the tax systems of the central and states governments, and improving the finance of state and municipal governments, while protecting efficient social programs,\u201d states the Fund.<\/p>\n

Translated by S\u00e9rgio Kakitani <\/strong><\/p>\n

 <\/p>\n

Thomaz Silva\/Ag\u00eancia Brasi<\/div>\n","protected":false},"excerpt":{"rendered":"

The Fund expects the country\u2019s economy to grow 1.4% this year. Forecast was revised down in 0.4 percentage point over July\u2019s estimate.<\/p>\n","protected":false},"author":2315,"featured_media":202333,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[91],"tags":[232,28578,553,5429,1988,4876,5431,3820,5430],"class_list":{"0":"post-202348","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-brazil","9":"tag-fundo-monetario-internacional-en","10":"tag-gdp","11":"tag-gdp-growth","12":"tag-imf","13":"tag-inflation-rate","14":"tag-international-monetary-fund","15":"tag-macroeconomy","16":"tag-unemployment-rate"},"wps_subtitle":"The Fund expects the country\u2019s economy to grow 1.4% this year. Forecast was revised down in 0.4 percentage point over July\u2019s estimate. ","_links":{"self":[{"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/posts\/202348","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/users\/2315"}],"replies":[{"embeddable":true,"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/comments?post=202348"}],"version-history":[{"count":0,"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/posts\/202348\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/media\/202333"}],"wp:attachment":[{"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/media?parent=202348"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/categories?post=202348"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/anba.com.br\/en\/wp-json\/wp\/v2\/tags?post=202348"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}