Economy· August 17, 2026 at 04:56 p.m.
Brazil Records Modest Second-Quarter Growth, Central Bank Index Shows
Key takeaways
- Brazil's economy expanded modestly in Q2
- Inflation rate increased by 0.26% in June
- Economic recovery driven by consumer spending and industrial production
Brazil's economy expanded modestly in the second quarter, according to data from the country's central bank index. The growth rate was not disclosed in the report. This marks a slight improvement compared to the first quarter where the economy contracted by 0.7%.
The central bank's IPCA-15 consumer price index also showed an increase of 0.26% in June, bringing the year-on-year inflation rate to 3.84%.
The modest growth and inflation figures suggest a stable economic environment for Brazil.
The second quarter's expansion was driven by a recovery in consumer spending and industrial production, which had been affected by the COVID-19 pandemic earlier this year.
However, the economy still faces challenges such as high unemployment and weak investment due to the ongoing health crisis.