Economics
Brazil Economic Rout Deepens as Investment Shows No Rebound
- Investment in quarter declines for the second straight period
- Analysts expect Brazil’s economy to grow again this year
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Brazil’s economic rout deepened in the fourth quarter as investors and consumers remained on the sidelines amid government austerity measures that marked a disastrous year of corruption and recession.
Gross domestic product contracted 0.9 percent in the final three months of 2016, its biggest decline in a year, after a revised 0.7 percent drop the previous quarter, the national statistics institute said Tuesday. That was worse than the median estimate for a 0.5 percent decline from 46 economists Bloomberg surveyed, and lower than all but four of their forecasts. For the full year Brazil contracted 3.6 percent.