GDP of Brazil in 2023 - Expenditure Approach, Sector Output, and Regional GDP

The global economy is slowing down, particularly in the US and Europe, and Brazil’s real GDP growth is expected to decelerate from an estimated 2.8% in 2022 to 1% (IMF) in 2023 due to global slowdown, elevated domestic interest rates, and high inflation. The negative effect on growth will be partially offset by a modest recovery in private investment once election-related uncertainty eases. However, if the Lula government’s interventionist policies weaken the business environment more than expected, growth will come in below forecast. Agriculture and mining exports are expected to rise with a post-pandemic recovery in global demand, while manufacturing has already rebounded due to stimulus for consumers and a weaker currency. Services will grow more modestly following consumption trends. If the Lula administration restores confidence in the fiscal framework, which is the assu...