Economic Pessimism Is the Lowest in Three Years

02/02/2018 - 13h07

Brazilian economic pessimism has fallen in the past few months, and it reached its lowest level in the last three years in January, according to Datafolha.

Figures are far from representing a surge in optimism, but they suggest the population's confidence in the process of economic recovery, after three years of recession, is back on track.

People's highest expectations relate to their wage's purchasing power, a result of the sharp drop in inflation seen last year and the slow recovery of the labor market.

According to Datafolha, 37% of Brazilians believe their purchasing power is going to be reduced in coming months.

One year ago, 59% had the same opinion. According to 22%, their income is going to increase, whereas 38% think their purchasing power is going to remain unchanged.

The most recent statistics of IBGE (Brazilian Institute of Geography and Statistics) show that unemployment is decreasing and workers income is on the rise, thanks to new jobs created in the informal market, without formal registration.

Translated by ANA BEATRIZ DEMARIA

Read the article in the original language