Analysts had forecast growth of 0.5 percent from the first quarter, according to the median estimate from 51 economists surveyed by Bloomberg. Gross domestic product expanded 0.5 percent from a year earlier, as compared to the 0.7 increase forecast by 47 economists.
Latin America’s largest economy has faltered since last year amid the European debt crisis and weaker Chinese demand for Brazil’s exports. The government has responded with tax cuts for goods ranging from automobiles to appliances in a bid to prop up consumer demand, while the central bank has cut its benchmark lending rate to a record low.
Finance Minister Guido Mantega said yesterday he expects growth will accelerate to a 4 percent annualized rate in the fourth quarter and reach 4.5 percent in 2013.
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