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Brazilian analysts predict economic growth of 2.3 pc in 2020

Published: December 31, 2019 14:43:46 | Updated: January 02, 2020 12:33:10


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Brazilian financial analysts elevated projections for the growth of the country's gross domestic product (GDP) in 2020 from 2.28 to 2.30 per cent, the Central Bank announced on Monday.

According to the Central Bank Focus survey of the country's main financial institutions, the GDP expansion forecast for the end of 2019 was revised up from 1.16 to 1.17 per cent.

The projection for Brazil's basic interest rate is that the current level of 4.50 per cent will be maintained in 2020, reports Xinhua.

Analysts elevated the forecast for inflation from 3.98 to 4.04 per cent for 2019 and 3.60 to 3.61 per cent for 2020.

These predictions are within the official goal of 4.25 per cent, the inflation target's midpoint, with a tolerance range between 2.75 and 5.75 per cent.

The prediction for the exchange rate is that the Brazilian real will close the year 2019 at 4.10 reals to the US dollar and reach 4.08 reals to the US dollar at the end of 2020.

In addition, projections for Brazil's balance of trade foresee a positive balance of 44.50 billion dollars in 2019 and of 39.40 billion dollars in 2020.

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