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Growth predicted in 2018 as Brazil’s long night finally ends

The picture is getting brighter in Brazil, but political instability, a public accounts deficit and unemployment are ongoing concerns for OEMs, writes Carcon Automotive’s Julian Semple

After two years of severe recession, the Brazilian economy is showing signs of improvement, with 2017 GDP expected to grow by 1% compared with 2016, and another 2.8% in 2018. These positive results are helped in part by lower inflation, which in 2017 should be less than 3% compared with 2016’s 6.3%, and also nominal interest rates of 7% per annum - their lowest rate ever.

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