Brazilian economy goes into technical recession in 1st quarter of the year

10 June 2009

Sao Paulo, Brazil, 10 June – The Brazilian economy went into technical recession in the first quarter of 2009, a period in which the country’s gross domestic product (GDP) saw a fall in growth of 1.8 percent year on year and 0.8 percent against the previous quarter, Brazil’s Geography and Statistics Institute (IBGE) said Tuesday.

In the first three months of the year, the wealth generated by the Brazilian economy totalled 684.6 billion reals.

The drop was largest in the industrial sector, 9.3 percent year on year, which was the biggest ever drop recorded by the IBGE.

As compared to the fourth quarter of 2008, meanwhile, the Brazilian industrial sector saw growth of 3.1 percent.

Brazilian agri-livestock production fell by 1.6 percent year on year, and 0.5 percent against the fourth quarter of 2008.

The services sector posted growth of 1.7 percent year on year and 0.8 percent against the final three months of 2008. (macauhub)