Tighter Liquidity To Weigh On Economy

September 2008 | Economic Analysis

We remain confident in Brazil's macroeconomic fundamentals, forecasting average real GDP growth of 4.4% over our five-year forecast period. However, we are increasingly cautious regarding Brazil's economic outlook in 2009, with tighter international liquidity and still rising interest rates likely to weigh on overall domestic consumption. We are therefore revising down our economic growth outlook to 3.5% for 2009, from a previous projection of 4.0%.

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