After possession, keeping market projection for GDP in 2019

The first financial market projections published in Jair Bolsonaro (PSL) show that the positive reaction after the possession resulted in a change in the Outlook for economic growth in the country. The median expectations of the institutions to the expansion of gross domestic product (GDP) this year from 2.55% at last Focus Bulletin of the Central Bank (BC) to 2018, to 2.53%, on disclosure of yesterday. Analysts consulted by the DCI, the forecast of the market considers that the Social security reform will be approved in 2019. In addition, they emphasize that, hardly, the GDP will grow above 2.5%. "We have to be in a very positive scenario," says Victor Candido, Chief Economist of the Investment Guide. "Unemployment, for example, is too high and will take to fall. Job creation comes after economic activity grow back. There is a lag, "he adds. Because of this, Candido explains that household consumption, which accounts for 63.4% of GDP, should surprise positively this year. Government expenditure, for your time, 20% of GDP, also will not register a lot of expansion, given the fiscal constraint scenario. "The single engine of the economy, so will be the investments, which are dependent on the confidence of businesses," he says. The analyst's projection is in line with the median of the market (2.5%), and the floor is 1%. This means that if the economy does not grow this year, we already have a positive 1% statistic heritage from 2018. The trust, for your time, depends on the progress of reforms, both in the National Congress, as infra-constitutional (that do not need Congressional approval), evaluates the Modalmais Economist, Alvaro Bandeira. A pension reform deep encourages companies to invest.