In April 2025, Brazil’s economic activity showed signs of slowdown, according to the IBC-Br index, which serves as a leading indicator for GDP. The economy grew by 0.2% compared to March, reflecting a deceleration from the previous month’s 0.8% growth. Key sectors like agriculture and industry contracted by 0.9% and 1.1%, respectively, while the services sector grew by 0.4%, keeping the overall figures positive. Despite this slowdown, annual growth remains robust at 2.5% compared to April 2024. Projections for 2025 indicate a growth rate of around 2.2%-2.4%, slightly lower than the 3.4% recorded in 2024. Factors such as inflation, interest rates, and global economic conditions continue to influence Brazil’s economic trajectory. The challenge for policymakers is to balance fiscal prudence with measures that promote investment and productivity.
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