The Gross Domestic Product (GDP) grew 1.2% in the second quarter of 2022, compared to the previous quarter, in the seasonally-adjusted series. Against the same quarter of 2021, the GDP grew 3.2%. In the cumulative result of the four quarters ended in June 2022, the GSP grew 2.6%, compared to the four previous quarters. In the year, the GDP accumulates a high of 2.5%.

In current values, the GDP in the second quarter of 2022 totaled R$ 2.4 trillion, of which R$ 2.1 trillion are relative to Value Added (VA) at basic prices and R$ 332.2 billion, to Net Taxes on Products.

In the second quarter of 2022, the investment rate was 18.7% of the GDP, standing stable against the one seen in the same period of 2021 (18,6%).

GDP up 1.2% over previous quarter

Against Q1, in the seasonally adjusted series, the GDP increased 1.2%.  The highest growth was in Industry (2.2%), followed by Services, which advanced 1.3% and Agriculture, expanding 0.5%.

The growth in Industry was due to the positive performances of 3.1% in the activity of Electricity and gas, water, sewerage and waste management, of 2.7% in Construction, of 2.2% in Mining and quarrying activities and of 1.7% in Manufacturing industries.

In Services, all the sectors recorded positive figures: Other services activities (3.3%), Transportation, storage and mailing (3.0%), Information and communication (2.9%), Trade (1.7%), Financial activities, insurance and related services (1.4%) and Real estate activities (0.3%). Administration, defense, public health and education, and social security declined (-0.8%)

In the expenditure approach, Gross Fixed Capital Formation (4.8%) and Household Consumption Expenditure (2.6%) grew in relation to the previous quarter. On the other hand, in the same base of comparison, Government Consumption Expenditure fell (-0.9%) 

In the foreign sector, Exports of Goods and Services fell 2.5%, whereas Imports of Goods and Services grew 7.6% over the first quarter of 2022.

GDP grows 3.2% against Q2 2021

When compared with the same period last year, the GDP increased 3.2% in the second quarter of 2021. The Value Added at basic prices recorded a positive change of 3.6% and Product Taxes Net of Subsidies advanced 1.6%.

Agriculture fell 2.5% over the same period of 2021. Among the agricultural products whose harvests are significant in the second quarter, soybeans (-12.0%) and rice (-8.5%) reduced their annual production estimate and lost productivity. On the other hand, corn and coffee had growth in 2022, estimated at 27.0% and 8.6%, respectively. Livestock estimates had a positive contribution to the performance of Agriculture in the second quarter, with a highlight to cattle.

Industry grew 1.9%, with the activity of Electricity and gas, water, sewerage and waste management recoding the best result (10.8%). Such a result is influenced, to a great extent, by the shutting down of thermal plants.

Construction presented increase of 9.9%, affected by the rise in the number of employed persons in the sector. Manufacturing Industries presented positive change of 0.5%, after three quarters of decrease. This result is mostly due to the advance in the manufacture of coke and petroleum derivatives; leather and footwear, chemicals, paper and pulp and beverage. Mining and Quarrying Industries retreated 4.0%, with reductions in the mining of iron ore and extraction of petroleum and gas.

The value added of Services grew 4.5% in comparison with the same period of the previous year.  The best results come from Other services activities (13.6%) and Transportation, storage and mailing (11.7%). The other activities also grew: Information and communication (4.6%), Trade (1.3%), Administration, defense, public health and education, and Social Security (1.1%), Financial Activities, Insurance and Related Services (1.0%) and Real estate activities (0.5%).

Household Consumption Expenditure increased 5.3% in Q2. The positive result was influenced by the growth of the real wage bill, credit expansion to natural persons in relation to the second quarter of 2021, in addition to the emergency withdrawal of the FGTS and the Christmas bonus advance for INSS retired workers and pensioners. 

The Gross Fixed Capital Formation advanced 1.5% in the second quarter of 2022. The increase is mostly due to the growth in constriction and software development. Government Consumption Expenditure changed 0.7% in relation to the second quarter of 2021.

In the foreign sector, Exports of Goods and Services fell 4.8%, whereas Imports of Goods and Services dropped 1.1% in the second quarter of 2022. Among the exports of goods, the decrease is explained by agricultural products (especially soybeans); extraction of petroleum and gas; mining of metallic minerals; and petroleum derivatives. On the other hand, the imports fell mainly due to the drop in the purchase of electrical machinery and equipment; basic metals; petroleum and gas extraction; and fabricated metal products.  

GDP grows 2.6% in the cumulative index in four quarters

The cumulative GDP in the four quarters ending in June 2022 rose 2.6% in relation to the four previous quarters.  This rate resulted from the advances of 2.7% in the Value Added at basic prices and of 2.6% in the Product Taxes Net of Subsidies. The result of Value Added in this type of comparison reflected the performance of the following segments: Agriculture (-5.5%), Industry (0.1%) and Services (4.3%).

Among the industrial activities, Construction (10.5%), Electricity and gas, water, sewerage and waste management (3.7%) and Mining and Quarrying Industries (0.5%) expanded. Manufacturing industries (-2.9%) recorded decrease.

In Services, there were positive results in: Other services activities (12.3%), Transportation, storage and mailing (10.9%), Information and communication (9.6%) Administration, defense, public health and education, and social security (2.2%) and Real estate activities (0.7%). ON the other hand, Financial activities, insurance and related services (-0.6%) and Trade (-0.1%) recorded negative changes.

In the analysis of the expenditure, Gross Fixed Capital Formation (3.5%) grew for the sixth quarter in a row. Household Consumption Expenditure and Government Consumption Expenditure registered positive changes of 3.4% and 2.5%, respectively. In the foreign sector, Exports of goods and services increased 2.3%, whereas Imports of goods and services advanced 2.0%.

GDP grows 2.5% in the first semester this year

The GDP grew 2.5% in the first semester of 2022 in relation to the same period of 2021. In this basis for comparison, Agriculture (-5.4%) performed negatively, whereas Industry (0.2%) and Services (4.1%) performed positively.

Among the industrial activities, Construction (9.5%), Electricity and gas, water, sewerage and waste management (9.2%) grew, while Mining and Quarrying Industries (-3.2%) and Manufacturing industries (-2.1%) fell. In Services, there was expansion in Other services activities (13.1%), Transportation, Storage and Mailing (10.6%), Information and communication (5.1%), Administration, defense, public health and education, and Social Security (2.0%) and Real estate activities (0.4%), whereas Financial Activities, Insurance and Related Services (-0.3%) and Trade (-0.1%) retreated.

In the domestic demand approach, considering the comparison by semesters, there is increase of 3.7% in the Household consumption expenditure and of 2.0% in government consumption expenditure. The Gross Fixed Capital Formation had a drop of 2.9%. In the foreign sector, the  Exports of goods and services  recorded increase of 0.9% and Imports of Goods and Services  fell 6.2%.

Investment rate was 18.7% in Q2

The investment rate in the second quarter of 2022 was 18.7% of the GDP, which represented stability in relation to that reported in the same period a year ago (18.6%).

The Integrated Economic Accounts and the Financial Account will not be released in the second quarter of 2022. The Balance of Payments, which is one of their major sources, was not published by the Central Bank of Brazil with data related to the month of June up to the closure of this release. The savings rate is based on the Integrated Economic Accounts and, for this reason, is not released in this edition as well.