Brazil's Economic Activity Rises 2.9% In 2022  

 

• Brazil's economic activity increased by 2.9% in 2022, according to a central bank index released on Thursday, boosted by the services sector which defied earlier predictions of mild growth, but with recent months' performance showing a loss of momentum.
• After starting the previous year with a forecast of a 0.3% expansion for the Brazilian economy in 2022, private economists surveyed weekly by the central bank now project 3% growth in 2022, on the back of resilient services activity and a stronger labour market.
• The IBC-BR economic activity index, a leading indicator of gross domestic product, rose 0.29% in December from November on a seasonally adjusted basis, surpassing the 0.1% growth forecast by analysts in a Reuters poll. Compared to the same month in 2021, the increase was 1.42%.
• The annual growth of Latin America's largest economy was also aided by increased government spending by former President Jair Bolsonaro, who boosted social expenses ahead of a presidential election.

(Source: Reuters)