Bloomberg Línea: 10/02/2022
“Even though the GDP has been surprising to the upside, we see a more challenging period ahead, especially next year, given the monetary tightening”, says Andrea Damico, partner and chief economist at Armor Capital. “We have not seen a strong monetary policy effect yet, but it will be larger since the interest rate is current 400 bps above its [neutral] level.”
These are the next government economic challenges
Regardless of who gets elected, the next president will have to deal with the global economy slowdown effects of and a larger pressure for public expenditure
Bloomberg Línea – the Brazil’s president from January 1st, 2023, will lead a country after the economic recovery from the pandemic, but with a lot of challenges that might hamper his government.
On the activity front, the financial market’s economists heard by Blooomberg Línea main question is if Brazil will be able to continue on its recovery pace seen in last months despite the more adverse global scenario.
The rising interest rates around the world – and mainly in the US – tend to result in a global deceleration or even a recession on the world’s largest economy.
