Fitch’s forecasts on Brazil improve

27 de julho de 2016

Brasília – The price stabilization of commodities will improve the economy of emerging nations, with a softening of recession in countries such as Brazil and Russia. This is the conclusion of credit rating agency Fitch, which released this Wednesday (27) the report Global Economic Outlook, with forecasts on the world economy in the next few months.

For Brazil, Fitch expects the economy to shrink 3.3% this year, against 3.8% in a forecast made in March’s report. The agency believes the country will recover in 2017, with a 0.7% growth, with 2018 upping this number with a 2% hike.

According to Fitch, which stripped Brazil from investment grade in 2015, the Brazilian Gross Domestic Product (GDP) in Q1 should be better than anticipated. For the agency, in the case of both Brazil and Russia, the economy will begin the stabilization process before the end of the year.

*Translated by Sérgio Kakitani