Economic activity in Brazil contracted for the fourth straight quarter, central bank data showed this week as Latin America's biggest economy plunges further into recession. The bank's IBC-Br economic activity index indicates economic activity fell 1.41% in the third quarter from the previous three months.
That follows contractions of 2.09% in the second quarter, 1.05% in the first and 0.50% in the last quarter of 2014. The IBC-Br, a gauge of activity in the farming, industry and services sectors, fell 0.5 percent in September from the prior month.
The index also an early indicator of GDP. Brazil national stats office, IBGE, is scheduled to release third-quarter GDP data on Dec 1.
Activity fell 6.2% in September from a year earlier, the steepest of a series of declines that started almost a decade ago. It is also feared that activity probably continued to fall at the start of the fourth quarter as industrial output plummeted and rising unemployment likely hit consumption.
Brazil's economy has slipped into its worst recession in 25 years, hit by high inflation, rising interest rates and a confrontation between the Executive and Congress which only generates uncertainty and conditions the passing of tax hikes and spending cuts by President Dilma Rousseff' government.
Independent economists expect the economy to contract 3.10% this year. Activity is also expected to contract next year in what would be the longest recession in Brazil since the Great Depression of the 1930s.
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We Brazilians have to increase our productivity efforts and generating new technologies and products that give the necessary conditions for the full development of our society.Nov 20th, 2015 - 11:00 am 0
The initiative of our universities and their researchers have contributed to the generation of patents that very soon will provide us with great financial returns.
The ultimate cure of all cancers are very close to be reached by the hands of Brazilians, Third World South Americans!
Hey Brasshole you finally said something reasonably sensible that you neet to up productivity! But that can only happen when Brazil institutes a framework of rules and regulations that allow that to happen, and with the current load of twits running Government that aint gonna happen anytime soon.Nov 20th, 2015 - 01:38 pm 0
Brazil will never make it into a developed country. There's just too many poor/uneducated people there.Nov 21st, 2015 - 05:04 pm 0
As the economy continues is multi year deterioration millions of people that were considered middle class will become poor again.
The growth they've had over the last decade will have shown itself to be false just like in Argentina and Venezuela.
You can't give free money to people and call them middle class.
It doesn't work in the long run and it only will end up dragging the real middle class into poverty when it collapses.
They say that 76% of Venezuelans are now in poverty.