Brazil: could a savings drawdown lift the recovery?

We estimate that Brazilian households have ‘excess’ savings worth around 6% of GDP resulting from the pandemic. These should help to cushion consumer spending in the face of headwinds caused by rising inflation and unwinding fiscal support, but we think it’s unlikely that there will be a rapid drawdown of savings that would turbocharge the recovery.
William Jackson Chief Emerging Markets Economist
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Latin America Economics Weekly

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Latin America Data Response

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Latin America Data Response

Brazil IPCA-15 (Aug. 2021)

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Latin America Data Response

Mexico Bi-Weekly CPI (August)

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Latin America Economics Weekly

More fiscal worries in Brazil, the regional re-opening

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