Brazilian Central Bank expects GDP to contract 5%
The report indicates that in 2020 the Brazilian Gross Domestic Product will not exceed a growth of 3.5 percent.
The Central Bank of Brazil reported this Monday that the country’s Gross Domestic Product (GDP) will contract by 5 percent in 2020, a situation that could extend until 2021.
The BCB specialists announced that inflation in the Latin American country will rise to 2.06 percent this year, making it possible to raise this indicator to 3.02 percent in 2021.
At the same time, the report points out that in 2020 the Brazilian Gross Domestic Product will not exceed a growth of 3.5 percent, while in 2021 the GDP of that nation could be reduced to 3.47 percent.
If these statistics are materialized, the forecast of the Government of the Brazilian President, Jair Bolsonaro, who predicts an ascent of the Gross Domestic Product by 4 percent will be breached.
For its part, the Economic Commission for Latin America (ECLAC) predicted that in 2020, except Guyana, due to the financial paralysis produced by the Covid-19 pandemic, the rest of the countries of Latin America and the Caribbean will experience the worst crisis monetary in 100 years.