Brazil's GDP hit almost 10% growth rate

GDP up 9.5% instead of 7.6%

Gross domestic product expanded 9% in the first quarter compared with the year-earlier period, the Brazilian Census Bureau, or IBGE, said Tuesday. That was the largest year-to-year growth recorded under the IBGE methodology implemented in 1995, and topped the median forecast of 7.6% by 22 economists polled by Dow Jones Newswires.

Washing machines, refrigerator tax cuts

Brazil Olympics 2016

Output at Brazil's mines and factories surged in the first quarter, reflecting the tax cuts on car sales and big-ticket items such as refrigerators and washing machines that were implemented in the wake of last year's recession.

Industrial sector 15% up

The industrial sector, Brazil's powerhouse, surged 14.6% year-to-year in the first quarter, the IBGE said. The service sector recorded growth of 5.9%, while the agriculture industry registered growth of 5.1%.

Brazil's GDP was 826.4 billion Brazilian reals (about $441 billion) in the first quarter, up from 717.4 billion reals in the first quarter of 2009.

Investments jumped to 18% of GDP, up from 16.3% of GDP in the first quarter of 2009.

Family consumption increased 16% to 526.7 billion reals from 455.6 billion reals, the IBGE said. Government spending rose 6.2% to 157.3 billion reals from 148.1 billion reals.

Refrigerator UP

source:http://online.wsj.com