FX.co ★ Brazil GDP Grows Less than Expected

In the third quarter of 2025, Brazil's gross domestic product (GDP) experienced a modest increase of 0.1% from the previous quarter, according to recent figures. This marked a slowdown from the adjusted growth of 0.3% observed in the second quarter and fell short of market predictions, which had anticipated a 0.2% rise. The third quarter's growth rate was the slowest seen in two years, excluding the 0.1% decline recorded in the last quarter of 2024. The slight uptick in private spending, which rose by 0.1%, highlights the ongoing challenges posed by persistent inflation and the sustained period of high real interest rates enforced by Brazil's central bank. On the other hand, government spending surged by 1.3%, and gross fixed capital formation increased by 0.9%. In terms of trade, exports grew by 3.3%, while imports increased by a more moderate 0.3%.