Brazil’s GDP Growth Below Forecasts in Q1

2025-05-30 13:21 By Isabela Couto 1 min. read

Brazil’s economy expanded by 2.9% year-on-year in Q1 2025, down from 3.6% in the previous quarter and below market expectations of 3.2%.

Growth slowed in construction (3.4% vs 5.1%), services (2.1% vs 4.7%), the public sector (0.5% vs 1.7%), and industry (2.4% vs 2.5%).

In contrast, agriculture rebounded sharply (10.2% vs -1.5%) after a year of declines, while utilities also recovered (1.6% vs -3.5%).

On the demand side, household consumption decelerated (2.6% vs 3.7%), as did government spending (1.1% vs 1.2%) and fixed investment (9.1% vs 9.4%).

Regarding net trade, exports advanced 1.2% (vs. -0.7% in Q4), while imports grew 14% percent (vs 16% in Q4).



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