Brazilian growth increases in 2006 with boosted consumption and exports, OECD says

24 May 2006

Lisbon, Portugal, 24 May – Brazil’s economic growth is expected to accelerate in 2006 to 3.8 percent, driven by consumer spending and exports, according to the Organization for Economic Cooperation and Development (OECD).

In the OECD’s Spring economic Forecasts, the organization pointed to growth of 4 percent in 2007, maintaining an upward trend in a period when investment is expected to continue recovering.

Exports should remain strong, but imports are also expected to return to high growth, limiting the impact of net exports on the economy.

Economic growth of 2.3 percent in 2005 was, “weaker than expected,” according to the OECD, given the behavior of most emerging markets.

Howeveer, for 2006, the organization considered that “recovery is on its way,” based on private consumption and investment, which in the first quarter of the year, have already shown some vitality. (macauhub)