With the result of the Brazilian GDP (Gross Domestic Product) in the first quarter of 2022, the country was in 9th place in the ranking of growth of economies compiled by the risk rating agency Austin Rating.
The IBGE (Brazilian Institute of Geography and Statistics) announced this Thursday (2) that the Brazilian economy grew 1% from January to March compared to the last three months of 2021. In the annual comparison, the increase was 1.7% . GDP is the sum of all goods and services produced in the country in a given period.
This result put Brazil ahead of countries like the United Kingdom, which had a rise of 0.8% in GDP in the first quarter of 2022 compared to the fourth quarter of 2021; South Korea (0.8%), Switzerland (0.5%), Germany (0.2%), France (-0.1%) and Japan (-0.3%) and the United States (-1, 4%).
In addition to these last countries, the list of ten countries with negative results in the quarterly margin also includes Italy (-0.2%), Israel (-0.4%), Sweden (-0.4%), Chile (-0 .8%) and Norway (-0.9%).
The leadership of the ranking was occupied by Peru, which grew 2.0% compared to the previous quarter and 3.8% in the interannual comparison, that is, in the comparison with the first quarter of 2021. Then comes the Philippines (1.9% and 8.3%), Canada (1.6% and 3.3%) and Taiwan (1.6% and 3.1%).
The United States ranked only 28th, with a 1.4% decline in GDP in the first quarter of this year compared to the fourth quarter of 2021, but up 3.6% year-on-year. China ranked 5th, up 1.3% quarterly and 4.8% year-on-year.
Russia is the last place, in 32nd place, without having reported the change in GDP in the first quarter of 2022, but with an increase of 3.5% compared to the same period last year.
Also without having reported the behavior of GDP in the first three months of the year are Saudi Arabia and India, which precede Russia for having advanced 9.6% and 4.1% respectively compared to the same quarter of 2021.
In the ranking of the largest economies, Brazil appears in 10th position. The Brazilian GDP is equivalent to US$ 1.833 trillion, below Italy’s, with US$ 2.058 trillion. In the first position of the ranking appears the United States, with US$ 25.346 trillion.
service help
The services sector was the main responsible for the growth of the Brazilian economy in the first quarter, since they represent 70% of the country’s GDP, with emphasis on services provided to families, such as accommodation and food.
“Many of these activities are face-to-face and had repressed demand during the pandemic”, explains the coordinator of national accounts at IBGE, Rebeca Palis, in a note.
The result for the quarter is the third positive, after a decline of 0.2% in the second quarter of 2021, and is 1.6% above the level of the fourth quarter of 2019, a period before the coronavirus pandemic. The number is 1.7% below the highest point of economic activity in the country, recorded in the first quarter of 2014, highlights the IBGE.
In the fourth quarter, GDP increased by 0.5%. In 2021, the indicator showed an increase of 4.6% after a fall of 4.1% in 2020.
It is worth mentioning that, despite the positive result in the first period of the year, experts expect that economic activity will continue to show a deceleration in the face of the global scenario of pressured inflation and rising interest rates.
As an extra challenge, Brazil still counts on the deterioration of domestic financial conditions, as mentioned by the Brazilian Institute of Economics of Fundação Getulio Vargas (FGV-Ibre) in a note.
Data for the 3rd and 4th quarter of 2021 are revised
The IBGE revised the fourth quarter data upwards, starting to see expansion of 0.7% instead of the 0.5% rate previously reported. The data for the third quarter also improved, moving to a slight increase of 0.1%, against a decrease of 0.1% previously disclosed.
With the revisions, the picture is no longer seen as a technical recession, characterized by two consecutive quarters of decline in GDP.
The IBGE also started to calculate a rise of 1.1% in the first quarter and a fall of 0.2% in the second, against, respectively, an increase of 1.4% and a decrease of 0.3% in previous releases.
Despite the revisions, the IBGE maintained the calculation that the Brazilian GDP grew 4.6% in 2021.
*With Estadão Content
We were wrong: The previous version of this article reported that Brazil was in the 9th position in the ranking of the largest economies in the world. In fact, the country ranked 9th in Austin Rating’s economic growth ranking. In the list of the largest economies, Brazil appears in the 10th position.
Source: CNN Brasil
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