For the first time since July of 2012, the International Monetary Fund has upgraded its outlook for Brazil’s economy. In a report on global economic prospects, the IMF predicted a 3.3 percent decline in GDP for Brazil this year, an upgrade from April, when the IMF forecast a 3.8 percent decline. For 2017, the IMF is now predicting GDP growth of 0.5 percent. In April, the IMF was forecasting zero growth for Brazil next year. Brazil is now in its second year of recession. GDP fell 3.8 percent in 2015. The IMF said the outlook has improved for Brazil, in part, because of new government policies being pursued by Acting President Michel Temer. The Temer administration has taken steps to cool inflation while pulling down government deficits. The IMF also noted signs of improved business and consumer confidence. Brazil will still lag behind the rest of Latin America, however, according to the IMF. The report forecast a GDP decline for the region of 0.4 percent this year, followed by 1.6 percent growth in 2017.
Link to IMF releaseMore Testimonials