World Economy

Brazil Growth Continues

Brazil Growth ContinuesBrazil Growth Continues

Economic activity in Brazil expanded for a third straight month in November, the longest stretch of gains since 2014, suggesting strong momentum at the end of the year, Reuters reported. The central bank’s economic activity index rose 0.49% from October after seasonal adjustments, in line with the median 0.50% forecast in a Reuters poll of economists. The figures are the latest indication that Latin America’s largest economy may have shifted up a gear at the end of 2017 after a much-awaited investments revival in the third quarter. Brazil’s gross domestic product likely grew around 1% last year, snapping a two-year period of contraction as slow inflation and record low interest rates propped up consumer spending. Economists forecast 2.8% growth in 2018, according to a weekly central bank survey, which would be the fastest since 2013. Analysts nevertheless say uncertainty around this year’s presidential elections, the most wide-open in decades, could keep a lid on investments.

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