Economic growth predicted for 2014 down to 0.13%

Investors and financial analysts have once again reduced the growth estimated for the Brazilian economy in 2014—this time from 0.16% to 0.13%. The forecast for the price of the dollar at the end of the year was also raised, from R$2.60 to R$2.65. The increase predicted for the year, however, held steady, with the US currency up 11.5%.

Government-controlled prices, like that of electricity and gas, are predicted to rise 5.42%, against last week's 5.40%. Figures were taken from a report entitled Boletim Focus, released every week by the Central Bank.

Brazil's net debt, in turn, had its estimate cut down from 35.9% to 35.8% of the country's GDP. As for the external sector, on the other hand, the predicted deficit went up from $85 billion to $85 billion, with a negative balance of $1.86 billion, and foreign direct investments totaling $60 billion.

There was no change in the inflation estimated by the National Broad Consumer Price Index (IPCA), which was held at 6.38%.

Translated by Fabrício Ferreira