Bank of America raised its forecast for the growth of Brazilian economic activity in 2022 to 3.25% this Thursday (1st), against a previous estimate of 2.5% – a rate that was already much more optimistic than most of the forecasts. market.
The strong upward revision came after the IBGE reported earlier that Brazil’s Gross Domestic Product (GDP) grew by 1.2% in the second quarter of this year compared to the first, a result above expectations and driven by the recovery of the services and increased household consumption and investment.
The first quarter data was revised up to 1.1%, up from 1.0% initially reported.
“Activity started 2022 at a strong pace, despite the initial negative impact of the Ômicron wave (from Covid), and maintained its performance throughout the second quarter, with even more impressive readings”, said in a report David Beker, head of economics in Brazil. and BofA’s Latin America strategy.
“This happened even before the reduction in ICMS, the increase in Auxílio Brasil and the reduction in fuel prices, which should have a great positive influence on the results of the next semester.”
Still, he cited a global economic slowdown and lagged effects of the monetary tightening cycle promoted by the Central Bank of Brazil as negative risks for activity in the second half of this year.
Source: CNN Brasil
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