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Brazil Sees Economy Growing Faster Without Additional Inflation

  • Finance Ministry raises 2023 growth estimate to 3.2% from 2.5%
  • Resilient economy has boosted Lula’s popularity this year

The Finance Ministry raised its growth estimate for 2023 to 3.2% from 2.5% while keeping its estimate for inflation at 4.85%.

Photographer: Andre Coelho/Bloomberg
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Brazil revised up its 2023 growth forecast following a better-than-expected economic performance in the first half of the year, while keeping inflation estimates unchanged.

Latin America’s largest economy will expand 3.2% in 2023 and 2.3% in 2024, according to a report published by the finance ministry on Monday. In July, the government forecast gross domestic product to grow 2.5% this year. This is the third upward revision to the official estimate, which is now above the 2.89% growth expected by analysts surveyed by the central bank.