The services sector registered a nominal growth of 6.2% in April compared with the same month last year, recording the lowest rate since March 2013 (6.1%) and below those of March (6.8%) and February (10.1%). Services rendered to families grew 10.4%, information and communication services, 3.7%, professional, administrative and complementary services, 5.2%, transportation, support activities for transportation and mailing activities, 8.0%, and other services, 9.8%. Revenue from services posted a cumulative rise of 8.0% in the year, the lowest rate since March 2013 (7.6%). In 12 months, the growth was 8.3%.

The Monthly Survey of Services (PMS) is the first short-term indicator that investigates the services sector in Brazil. It encompasses the activities comprising non-financial business segments, except the sectors of health, education, public administration and imputed rent (value the owners would earn in case they rented the properties where they live). The complete publication can be accessed on page www.ibge.gov.br/english/estatistica/indicadores/serviços/pms.

Table 1
Nominal Revenue Indicators for the Services Sector, by Activity Groups

Brazil - April 2014

The increase of 3.7% registered by information and communication services (below the rate of 4.4% in March and 6.7% in February) coupled with the increase of 5.2% recorded by professional, administrative and complementary services (below the rate of 8.8% in March and 9.3% in February) significantly contributed to the lower increase of the services sector in April than in the previous months. The segment of transportation, support activities for transportation and mailing activities posted the same increase reported in March (8.0%). These three segments represented the highest weights in the structure of the services sector.

Table 2
Weights of Activities in the structure of the Services Sector and Relative Composition of Rates
Brazil

Services rendered to families changed 10.4% in April over the same month a year ago, registering the same level of March´s rate (10.0%) and a level lower than February´s (13.3%). The highlights in this segment were housing and food services, which grew 10.8%, and other services rendered to families, which changed 8.0%.  The cumulative change in the series along the first four months of 2014 stayed at a higher level than the series between May and December 2013.

Information and communication services rose 3.7%, below the rates of 4.4% in March and 6.7% in February. Information and communication technology services - ICT, which comprise telecommunications and information technology services, recorded a change of 2.4%, whereas audiovisual, publishing and news agency services increased 12.1%. The segment of information and communication services accounted for 21.0% of the relative contribution in April, contributing with 1.3 percentage points (p.p.) to the absolute composition of the overall index.

Professional, administrative and complementary services rose 5.2% in April over the same month a year ago, against 8.8% in March and 9.3% in February. Technical-professional services, which encompass knowledge-intensive services, grew 5.0% and Administrative and complementary services, which encompass labor-intensive services, 5.2%. By relatively contributing with 17.7%, this segment contributed with 1.1 p.p. in absolute terms to the overall index.

The segment of transportation, support activities for transportation and mailing activities registered a nominal growth of 8.0% in April over the same month last year, which was the same rate reported in March and lower than that recorded in February (14.7%). In terms of mode, the figures were: 3.6% for land, 14.5% for sea and 18.3% for air transportation. The segment of warehousing services, support activities for transportation and mailing activities posted a growth of 12.2%. The segment of transportation, support activities for transportation and mailing activities contributed with 40.3% in relative terms and, in absolute terms, contributed with 2.5 p.p. to the overall index.

The segment of other services registered a nominal growth of 9.8%.

In April, revenue from services in Piauí changes -0.4%

At the regional level, only Piauí registered a negative nominal change (-0.4%) over the same month a year ago. The highest changes were recorded in the Federal District (15.8%), Acre (14.3%) and Mato Grosso (11.7%). The lowest positive rates were posted in Bahia (1.1%), Minas Gerais (1.5%) and Espírito Santo (2.3%). São Paulo contributed with 37.1% and 2.3 p.p. to the composition of the indexes, followed by Rio de Janeiro, with 24.2% and 1.5 p.p. and the Federal District, with 6.6% and 0.4 p.p.

Among the selected Federation Units,services rendered to families registered the highest growth rates in Ceará (27.6%), Espírito Santo (20.4%) and Goiás (18.2%). The lowest rates were recorded in the Federal District (6.4%), Rio de Janeiro (7.7%) and São Paulo (8.6%). 

Concerning information and communication services, Goiás posted the highest growth rate (24.3%), followed by Santa Catarina (12.0%) and the Federal District (10.0%). The lowest positive rates were reported in Espírito Santo (0.5%), Pernambuco (1.3%) and São Paulo (1.8%). The negative changes were registered in Bahia (-10.1%), Minas Gerais (-3.8%) and Ceará (-3.3%).

In regard to professional, administrative and complementary services, Santa Catarina recorded the highest growth rate (14.3%), followed by Paraná (9.6%) and São Paulo (6.7%). The lowest positive changes were registered in Ceará (1.7%), Bahia (2.2%) and Minas Gerais (3.3%). In this segment, Goiás (-8.0%), Espírito Santo (-1.2%) and Rio Grande do Sul (-05%) posted negative nominal changes.

In the segment of transportation, support activities for transportation and mailing activities, the highlights were the Federal District (32.6%), Rio de Janeiro (16.0%) and São Paulo (7.2%), with the highest changes over the same month a year ago. The lowest changes were registered in Rio Grande do Sul (1.8%), Espírito Santo (2.9%) and Minas Gerais (3.6%).

As to the segment of other services, the highest rates were recorded in the Federal District (35.5%), Ceará (28.3%) and Bahia (21.3%). The lowest positive rates were reported in Espírito Santo (3.2%), São Paulo (6.7%) and Goiás (7.2%). Pernambuco (-8.2%) and Minas Gerais (-1.5%) registered negative changes.