Brazilian Economy Expands 0.7% in Q4

Brazilian economy expanded slower than expected in the fourth quarter, though the rate of growth accelerated from the previous quarter, latest figures showed Thursday., RTT News 3/3/2011 1:51:14 PM

The seasonally adjusted gross domestic product grew 0.7% quarter-on-quarter in the fourth quarter. This follows a 0.4% expansion in the third quarter, revised from 0.5% rise reported initially. Economists had forecast a 0.8% increase.

Year-on-year, the GDP growth eased to 5% from 6.7% in the September quarter, while economists had forecast a slowdown to 5.2%. This was the weakest year-on-year figure recorded in all four quarters of 2010.

In 2010, the economy maintained a steady growth rate of 7.5% compared to 2009 as expected. This was the highest annual rate since 1986, the statistical office said.

Value added by industry fell 0.3% sequentially during the quarter after adjusting to seasonal variations. Agricultural output declined 0.8%.

Investment recorded a slower growth of 0.7% in the final quarter, while rise in private spending accelerated to 2.5%.

Exports grew 3.6% from the third quarter, while imports recorded 3.9% rise. Annually, exports and imports expanded 13.5% and 27.2% respectively.

Brazilian Economy Expands 0.7% in Q4