During a virtual event promoted by Abrainc (Brazilian Association of Real Estate Developers), the president of the Central Bank of Brazil, Roberto Campos Neto, said that the institution believes that there will be a fall of almost 11% of GDP in the second half of 2020. If the forecast is confirmed, the country will enter a technical recession, which is the drop in GDP for two consecutive semesters. Economists point out that the economic crisis in Brazil is more intense than in other countries and estimate that the recovery will be slow.
The June summary was: industry and commerce showed better results than expected, agribusiness was strong, but the services sector showed a slow recovery.
The fall in the level of Brazilian economic activity comes amid the pandemic of the new coronavirus, which has been killing about 1000 people in Brazil every day for several weeks. The pandemic has brought down the world economy and put the world on the road to a recession.
So far, Bolsonaro's government, in addition to the president's denialism, which in the face of thousands of deaths continues to defend things like the use of hydroxocloquine and openly criticizing the mayors and governors who defended social isolation, has done little to face this tragedy that will reverberate in the greatest recession in our history, as everything indicates that Brazil will face an economic fall twice the world average.
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