Brazil’s Recession Now Worst of Last 25 Years
EspañolAccording to figures reported by the Brazilian government this Wednesday June 1st, the Gross Domestic Product (GDP) of the country shrank 5.4 percent in comparison with the same period last year, meaning that Brazil is now suffering its worst recession in 25 years.
Compared with the last quarter of 2015, growth fell by .03 percent in the same period of 2016.
According to the Brazilian Institute of Geography and Statistics (IBGE), officials are expecting the decline this year to look a lot like last year’s, when the economy fell 3.8 percent.
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Experts predicted the decline this year could be even worse than that of the last 12 months. Through March, the Brazilian GDP fell 4.7 percent.
This Tuesday, May 31, government officials announced that Brazil’s unemployment had reached 11.2 percent between April 2015 and February 2016.
Twenty percent more people in Brazil are unemployed than at this time last year.
Mismanaging what was once a promising economy has been the story now for years — whether it be the multiple corruption cases or developing bad policy amid an illusion of wealth and growth started by former President Luiz Inácio Lula da Silva and continuing through to last month, with now-suspended President Dilma Rousseff.
Amid such a complicated and troublesome economic and political crisis, some officials are worried about the Olympic Games that will be played in Río de Janiero in the coming months.
Last month, President Dilma Rousseff was temporarily removed from office for a half-year while undergoing an impeachment process. Since then, Vice President Michel Temer has assumed the presidency.
Source: El País