GDP forecasts for Brazil stop rising after 15 weeks

GDP Brazil stop rising
Brazilian Central Bank. Photo: Alf Ribeiro/Shutterstock

According to the latest edition of the Brazilian Central Bank’s Focus Report — a weekly survey of top-rated investment firms — Brazil is set to record a 5.3-percent median GDP growth for this year. The number is the same as last week, putting an end to a 15-week streak of rises in forecasts. 

Meanwhile, markets increased their year-end inflation forecasts, for the 18th straight week, to 6.88 percent. The upper limit of the government’s target band sits at 5.25 percent. That movement comes despite the Central Bank’s attempts to tame inflation by jacking up the benchmark interest rate, which climbed from 2 to 5.25 percent between January and August.