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Brazilian analysts raise 2020 inflation forecast to 4.35 pct

SAO PAULO
2020-12-15 05:25

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SAO PAULO, Dec. 14 (Xinhua) -- Brazil's financial market raised its inflation forecast for 2020 from 4.21 to 4.35 percent, the 18th consecutive weekly increase, the Central Bank of Brazil said Monday.

Financial analysts maintained their 2021 inflation forecast at 3.34 percent, according to the bank's weekly survey of leading financial institutions in Brazil.

The Broad Consumer Price Index is expected to exceed the government's 2020 target of 4 percent, with a margin of 1.5 percentage points up or down for a range of 2.5 to 5.5 percent.

Regarding gross domestic product (GDP), the market forecast a 4.41 percent contraction in 2020, slightly more than last week's estimated 4.4 percent contraction.

Analysts maintained their 2021 GDP forecast at 3.5 percent growth.
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