Private Sector Pulls up Brazil's GDP by 0.6% in Q3

Investments rise 2% in the period; 2018 growth is revised upwards

São Paulo and Rio de Janeiro

The third-quarter GDP (Gross Domestic Product) grew by 0.6% over the previous three months and reached R$ 1.842 trillion, IBGE reported yesterday.

Much is due to private sector investments, which rose 2%. Household consumption increased by 0.8%, while government spending fell by 0.4%.

Despite the positive performance, the quarterly rate is still 3.6% below the peak of the series, reached in the first quarter of 2014.

Much is due to private sector investments, which rose 2%. - (Foto: Camila Oliveira/FramePhoto/Folhapress) - 5416

GDP is at the same level as in the third quarter of 2012, having recovered 4.9% since reaching its lowest point in the fourth quarter of 2016 amid the economic recession.

For IBGE Quarterly Accounts coordinator Rebeca Palis, the current scenario shows a "more or less continuous, but not very accelerated" improvement.

The institute also released new 2018 GDP figures, revised from 1.1% to 1.3%.

The main factor of the change was agriculture, which increased from 0.1% to 1.4%.

Translated by Kiratiana Freelon

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