Brazil: Economic activity records modest growth in September
November 17, 2014
In September, economic activity rose 0.4% over the previous month in seasonally-adjusted terms, according to the Central Bank’s monthly indicator for economic activity (IBC-Br, Indice de Atividade Economica do Banco Central). The figure marked an improvement from the 0.2% expansion tallied in August and overshot market expectations of a 0.2% increase.
On an annual basis, economic activity expanded 0.9% in September, which contrasted the 1.3% contraction tallied in August. The result marked a seven-month high. Meanwhile, annual average growth fell from 0.9% in August to 0.6% in September, which represented the lowest level since January 2010. Brazil’s economy is in a technical recession and the downward trend in economic activity points to a struggling recovery.