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Brazil revises up 2018 inflation forecast to 4.28 pct

Source: Xinhua| 2018-09-25 10:54:56|Editor: ZD
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BRASILIA, Sept. 24 (Xinhua) -- Brazilian financial market analysts raised the inflation forecast for this year from last week's 4.09 percent to 4.28 percent, Brazil's Central Bank (BC) said Monday.

The BC commissioned a survey by the Focus group which found after polling the country's leading financial institutions that for the coming year, the price index went from 4.11 to 4.18 percent.

The result still falls within the inflation forecast by the BC, which is 4.5 percent for this year and 4.25 percent for the next. Both have a 1.5-percentage-point range of tolerance.

At the same time, the market once again reduced the Gross Domestic Product (GDP) forecast for 2018, from 1.36 percent to 1.35 percent.

At the beginning of the year, the financial market forecast put the GDP growth at 3 percent and four weeks ago that forecast was 1.47 percent.

Among the factors leading to the downward revision is the uncertainty looming over the outcome of the general elections on Oct. 7.

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