GDP remains stable in Q3, grows 1.4% over same period in 2016
December 01, 2017 09h00 AM | Last Updated: December 01, 2017 11h21 AM
Having changed 0.1% over the previous quarter, the Gross Domestic Product - GDP remained stable in the third quarter of 2017. Released today by the IBGE, the data point out that agriculture fell 3.0%, whereas industry and services increased 0.8% and 0.6%, respectively, leveraged by the manufacturing industry (1.4%) and trade (1.6%).
The consumption of households rose 1.2% in this comparison, while investments – gross fixed capital formation – increased 1.6%. Investments increased for the first time, after 15 consecutive quarters dropping or remaining stable. The consumption of government fell -0.2%.
At current values, the GDP reached R$1.641 trillion, being R$1.415 trillion of value added at basic prices and R$225.8 billion of product taxes net of subsidies.
In the other comparisons, the changes were of 1.4% in relation to the third quarter of 2016, -0.2% in the cumulative rate in four quarters and 0.6% in the cumulative rate in the year.
GDP increases 1.4% in relation to Q3 2016
The GDP increased 1.4% in relation to the third quarter of 2016, the second consecutive positive rate in this type of comparison. Agriculture rose 9.1%, influenced by the productivity gain and by the positive performance of some farm products harvested in this quarter, like corn and cotton.
Industry increased 0.4% and services, 1.0%. In the case of industry, the rate was influenced, on the one hand, by the growth of 2.4% in the manufacturing industries and, on the other hand, by the drop of 4.7% in construction. On its turn, the performance of services came from the growth of 3.8% in trade and of 1.2% in other services activities, as well as from the drop of 0.8% in administration, defense, public health and education, and social security.
Still in this comparison, the consumption of households rose for the second quarter in a row. The increase of 2.2% was influenced by the evolution of some macroeconomic indicators along the quarter, like the deceleration of inflation, the reduction in the basic interest rate and the growth, in real terms, of the wage bill.
Gross fixed capital formation fell 0.5%, the 14th drop in a row. This retreat is mainly justified by the negative performance of construction, only partially offset by the growth in production and imports of capital goods. The consumption of government, on its turn, declined 0.6% over the third quarter of 2016.
Text: Irene Gomes
Artwork: Helga Szpiz
Photograph: Licia Rubinstein
