The FINANCIAL — Economists cut again their forecast for Brazil’s economic performance for this year and also for the next year, as consumer and business confidence shows no signs of recovery, according to Nasdaq.
Brazil’s gross domestic product is expected to contract 3% this year, according to a weekly central-bank survey of 100 economists, compared with expectations last week for a contraction of 2.97%.
The forecast marked the 14th-consecutive downward revision in the weekly survey of economists.
For the next year, economists cut their view for a contraction of 1.22% from 1.20%.
In the meantime, the economists surveyed increased their estimate for inflation in 2015, as measured by the consumer- price index, to 9.75% from 9.70%.
For next year, they increased their inflation estimate to 6.12% from 6.05%.
Respondents maintained their outlook for the benchmark Selic interest rate at the end of 2015 at 14.25%, and increased their view for 2016 to 12.75% from 12.63%. The rate currently is at 14.25%.
The economists surveyed lifted their forecast for 2015’s trade balance to a $13.20 billion surplus from $12.99 billion.