Economy

Thanks to credit, consumption by Brazilian families grows at a faster pace

Trade and services are the sectors that can benefit most from this shift

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  • Household consumption grew again and at a faster pace in the second quarter of 2019, according to the IBGE;
  • The employed population in Brazil is also growing, albeit based on concern and informality.

The Brazilian Institute of Geography and Statistics (IBGE) released this Thursday (29), along with the country’s GDP data, the survey data of the Quarterly National Accounts. In it, the agency points out that household consumption grew again at a faster pace in the second quarter of 2019–although this figure has not dropped since 2017, the pace of growth was not as steady as it is now. The information is from the Valor Econômico newspaper.

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According to the IBGE, there was a 1.6% increase, compared to the same period of the previous year. In the last three months, a rise of 1.3% was registered on the same basis of comparison.

“Household consumption has had a higher growth in the past, it is true, but it has been growing consecutively and has been sustaining the results, contributing greatly to the recovery of the economy,” said Claudia Dionisio, IBGE technician, during a news conference at the institute’s headquarters in Rio de Janeiro, to Valor Econômico.

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According to Dionisio, the result was positively influenced by the 13.9% growth in the balance of loans to individuals, in addition to growth in real payroll. “The employed population is growing, albeit based on concern and informality,” the researcher told the Brazilian newspaper.