Gross Domestic Product (GDP) in Brazil grew by 1.4% from A4 2024 to Q1 2025. The increases in Agriculture (12.2%) and in Services (0.3%) contributed to the increase. industry recorded slight negative change (-0.1%), which is considered stability. Against Q1 2024, there was an increase of 2.9%, whereas as for the cumulative index in the last four quarters, GDP rose 3.5%

In current figures, a total R$ 3.0 trillion were generated being R$ 2.6 trillion relative to Value Added (VA) at basic prices and R$ 431.1 billion to Product taxes net of subsidies. Data come from the System of National Accounts, released today (30) by the IBGE.

Among Services activities, which account for approximately 70% of the country's economy, increases were recorded by Information and communication (3.0%), Other services activities (0.8%), Real estate activities (0.8%), Administration, defense, public health and education and social security (0.6%) and Trade (0,3%). Stability was recorded by Financial, insurance and related services (0.1%) and a drop in Transportation, storage and mailing (-0.6%).

“The highlight in Services both in the interannual rate and against Q4 2024 was Information and Communication Services, mainly due to the rise of Internet and system development. This activity increased more than 38% since the pandemic," says the IBGE coordinator of National Accounts, Rebeca Palis.

In the industrial sector, the IBGE researcher highlights "mainly mannufacturing an construction industry, which had drops in Q1 2025 of 1.0% and 0.,8%, respectively, from Q4 2024. The industrial sector is being negatively affected by the restrictive monetary policy," she adds.

Eletricity and gas, water, sewage, waste management activities (1.5%), and Mining and Quarrying Industries (2.1%) had a positive performance. The industrial sector corresponds to approximately 25% of value added.

Finally, from the perspective of production, the sector if Agriculture, which accounts for approximately 6.5% of the economy, recorded an increase of 12.2% against Q4 2024. “Agriculture has been favored by good climate conditions and a low basis for comparison from last year. We expect a record harvest for soybean, our main farm product."

From the perspective of demand, the highlight was the expansion of Family Consumption Expenditure (1.0%) and Gross Fixed Capital Formation (3.1%), whereas Government Consumption Expenditure (0.1%) was stable.

As for the foreign sector, Exports of Goods and Services recorded a positive change of 2.9% whereas Imports of Goods and Services increased by 5.9% from Q4 2024.

GDP grows 2.9% from the same period a year ago

Against Q1 2024, GDP grew by 2.9%, seventeenth consecutive positive rate. Value added at basic prices rose by 2.9% and Product taxes net of Subsidies increased by 2.9%.

Among the activities, Agriculture grew 10.2% from the same period in 2024. Rebeca explains that, as in the quarterly comparison, the interannual result can be mainly seen from the good performance of some crop products that have a relevant crop in Q1.

According to the Systematic Survey of Agricultural Production (LSPA/IBGE), released in May, favorable climate conditions had an impact on some crops. Among products wirh crops in Q1 recording increase in output estimate and increase of yield, soybean (13.3%), corn (11.8%), rice (12.2%) and tobacco (25.2%) stand out.

Industry grew by 2.4% from Q4 2024. In this context, Construction (3.4%) had the sixth consecutive increase corroborated by the expansion of employment in the activity and in the production of typical inputs. In the second position, Manufacturing Industry (2.8%) was mainly driven by machinery and equipment, basic metals, besides chemicals and pharmaceuticals.

The advance in the activity of Electricity and gas, water, sewage, waste management activities (1.6%) was driven by residential consumption. Mining and quarrying industry (0.2%), recorded stability, having its positive change based on the extraction of oil and gas, but with effects mitigated by the drop in iron ore.

The value added of Services increased by 2.1% from the same period a year ago. All the activities recorded increases: information and communication (6.9%), Real estate activities (2.8%), Other services activities (2.5%), Trade (2.1%), Financial, insurance and related services (2.1%), Transportation, storage and mailing (1.1%) and Administration, defense, public health and education and social security (0.5%).

More about the System of National Accounts

The System of National Accounts shows, on a quarterly basis, the current values and the volume indexes for the Gross Domestic Product (GDP) at market prices, taxes on products, value added at basic prices, personal consumption, government consumption, gross fixed capital formation, stock changes, and exports and imports of goods and services. The survey began in 1988 at the IBGE and it was redesigned in 1998, when its results were integrated to the System of National Accounts, which has an annual periodicity. Please check the GDP data on Sidra. The next release, relative to Q2 2025, will be on September 2.