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Brazil's recession deepens as economy shrinks more

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By Euronews
Brazil's recession deepens as economy shrinks more

Brazil’s worst recession in 25 years has deepened. The economy shrank 1.7 percent in the third quarter – half a percent more than analysts had predicted.

The country’s GDP dropped 4.5 percent on an annual basis, the steepest decline since the current data series began nearly 20 years ago.

Investment fell 15 percent from a year earlier, the ninth straight quarterly decline.

Unemployment hit a six-year high, consumer prices jumped 10 percent compared to the same time last year and household consumption fell.

It’s further bad news for President Rousseff’s government; on top of corruption scandals, unpopular austerity efforts have foundered amid shrinking tax revenues.