The International Monetary Fund (IMF) has upgraded its 2024 growth forecast for Brazil’s economy to 1.7%.
Released on Tuesday, January 30, 2024, this revised estimate surpasses the earlier prediction of 1.5% growth made in October 2023.
The IMF’s decision reflects Brazil’s stronger domestic demand and its better-than-expected economic performance compared to key global partners in 2023.
These insights appear in the most recent World Economic Outlook report, placing Brazil’s economic achievements in a global context.
Looking ahead to 2025, the IMF maintains its growth projection for Brazil at 1.9%.
In contrast, the economic outlook for Latin America and the Caribbean signals a deceleration, with the growth forecast for the region lowered from 2.5% to 1.9% in 2024.
This revision largely stems from Argentina’s economic downturn amid substantial political efforts to regain macroeconomic stability in the area.
On a global scale, the IMF has revised its growth forecast from 2.9% to 3.1%.
This update underscores the ongoing resilience of nations during the post-Covid recovery and the persistent Russia-Ukraine conflict.
Additionally, the report highlights an unexpectedly rapid decrease in inflation since its peak in 2022.
This decline has had a lesser impact on employment and overall economic activity than initially projected.
The report credits this positive trend to favorable developments on the supply side and concerted actions by central banks to keep inflation expectations stable.
IMF highlights Brazil’s strong economy, emphasizing global interconnectedness and the role of domestic and international factors in shaping its future.