Brazil’s GDP up 2.7% in 2011

Brazil’s GDP reached 4.143 trillion reais ($2.367 trillion) in 2011, up 2.7 percent from 2010, the official IBGE statistics agency said Tuesday.

The growth rate, representing a significant deceleration of the Brazilian economy given the 7.5-percent GDP growth in 2010, was in line with market expectations.

The Brazilian government expects the country’s economy would fare much better in 2012. Finance Minister Guido Mantega said several stimulus measures are being taken and “our aim is a growth rate of 4.5 percent” this year.

According to the IBGE, all three sectors registered growth last year, with agriculture as the best performer by growing 3.9 percent, followed by the tertiary sector (2.7 percent), and industry (1.6 percent).

The agricultural sector’s growth was attributed to higher output of several produce, especially grain crops, which reached a record high of 159.9 million tons last year.

In the tertiary sector, the best results were registered in information services, financial intermediation, and retail. Growth in this sector was sustained by higher incomes and an improved job market, the IBGE said.

While in the secondary sector, construction and infrastructure (electricity, water, sewage, urban cleaning) registered the most significant growth, said the IBGE.

Roberto Olinto, IBGE national coordinator, said that among the three sectors, the industrial sector was the most affected by the global financial crisis and weak domestic demand.

Statistics also showed Brazilian families’ consumption rose for the eighth consecutive year in 2011, up 4.1 percent, while the government spending grew 1.9 percent.

Investment grew 4.7 percent last year, totaling 798.7 billion reais ($456.4 billion).

Exports rose 4.5 percent in 2011, while the import value, boosted by the appreciation of the Brazilian currency against the US dollar, rose 9.7 percent.