Brazil poised to enter top five world economies

It is one of the world's fastest growing economies, and as the latest figures demonstrate, Brazil shows no signs of slowing down. While investment continued to flow into the country last year, the South American nation's economy grew by 7.5%, its fastest pace in 24 years, putting its current GDP at $2.1 trillion.

Brazilian Finance Minister Guido Mantega stated that further revision in World Bank and IMF figures was likely to push the country up two more spots. "If we consider prices and purchasing power, a pending homework from the World Bank and IMF, Brazil's GDP is $3.6 trillion, which places us in fifth place ahead of France and the UK", said Mantega. 

Growth in local agriculture and manufacturing industries played a large role in the increase, while overall investment in the nation increased by a huge 21.8%. Concern is growing, however, that the Brazilian economy may 'overheat' in the style of Ireland or the UAE, prompting calls from IMF Managing Director Dominique Strauss-Khan to reign in growth levels.

The Brazilian government has acted promptly to cool inflation and growth rates, however, with the Central Bank having increased interest rates by half a per cent earlier this week. President Dilma Rousseff stated her administration would maintain "a reasonable, sustainable and standing growth rate" to ensure Brazil remained a stable choice for investors. "We'll keep an eye on stability and another on investment", she said

Published in Press Releases