World Bank projects 3.5 pct growth for Brazilian economy in 2006

14 December 2006

Washington, United States, 14 Dec – The Brazilian economy is expected to end 2006 with growth of 3.5 percent, or 1.2 percentage points more than in 2005, according to the World Bank.

The Global Economic Prospects published Wednesday in Washington show that in 2007 Brazil’s economy should grow 3.4 percent, and by 3.8 percent the following year.

The document showed that high interest rates and the increased value of the local currency are factors that have limited Brazilian growth.

Brazil could also be affected by a bigger deceleration than expected for the US economy in 2007, which, if it occurs, would affect all Latin American economies. (macauhub)