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Brazil Lula Says GDP Will Grow This Year, 5% in 2010

October 5th, 2009
Lula1

President Luiz Inacio Lula da Silva

Brazilian President Luiz Inacio Lula da Silva said his country will post economic growth this year and that the nation’s gross domestic product will expand 5 percent next year.

“In contrast with the global trend, the Brazilian economy will reach the end of 2009 with a positive growth rate,” Lula said today in Brussels at an event with Belgian Prime Minister Herman Van Rompuy. “In 2010, we estimate GDP growth of 5 percent.”

Brazil’s GDP grew more than analysts forecast in the second quarter on rising domestic demand, pulling Latin America’s biggest economy out of its first recession since 2003.

Brazil’s economy expanded 1.9 percent in the April-June period from the previous quarter. GDP fell 1.2 percent in the same quarter a year earlier, according to a Sept. 11 report from the Rio de Janeiro-based statistics institute.

Since July, forecasts for growth next year have increased to 4.5 percent from 3.5 percent, according to a weekly central bank survey of about 100 economists. Analysts expect the economy to post zero growth this year, better than the 0.73 percent contraction estimated in May.

By Jonathan Stearns and Adriana Brasileiro

http://www.bloomberg.com


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