Brazil’s push to overhaul its costly social security system is a welcome step toward healing public finances and the economy, but is not enough to stabilize public debt or trigger a positive review on the country’s credit rating, directors at rating agency Fitch said on Thursday.
Brazil's economy got off to an extremely slow start in the second quarter, figures released showed, with activity in the all-important services sector contracting in April for the first time since September last year.
Brazil posted a trade surplus of US$ 6.06 billion in April, the Economy Ministry said, which is wider than the previous month. It was the second largest surplus ever recorded for the month of April and the biggest monthly surplus so far this year, a result of exports totaling US$ 19.69 billion and imports of US$ 13.63 billion.
Brazil’s central government’s primary budget deficit narrowed in March thanks to aggressive cuts in discretionary spending, the Treasury said on Monday, although it warned that public finances were still at risk from pension commitments and weak revenues.
Brazilian markets slumped on Wednesday, a day after a planned pension overhaul cleared a congressional hurdle following a lengthy debate that highlighted the government’s struggle to build support for its signature reform policy.
Brazil's economic growth may accelerate to a 3.5% annual rate in the second half of the year after the approval of pension reforms, Economy Minister Paulo Guedes said in an interview with TV channel Globo news.
Brazil's inflation rate hit 0.75% in March, the fourth straight month of increases and the highest for the month since 2015 when it registered 1.32%, Brazil's National Institute of Geography and Statistics (IBGE) said on Wednesday.
Growth in Brazilian economic activity picked up to its strongest in over a year in March, driven by solid increases in domestic new orders across both the manufacturing and services sectors, IHS Markit Insight said on Wednesday.
Swiss pharmaceutical company Roche said this week it will stop producing medicines at its Rio de Janeiro unit in Brazil, a new blow to a country whose economy appears to be in its most sluggish decade in 120 years. Roche said the move will take place within the next five years because that factory is not financially sustainable.
The Brazilian economy accelerated sharply in the third quarter as record-low interest rates and a one-off government-led boost helped it bounce back from the impact of a nationwide truckers’ strike. Gross domestic product rose 0.8% from the second quarter and 1.4% from the third quarter of 2017, government statistics agency IBGE said on Friday.