The Central Bank of Brazil has raised the country's economic growth expectations for this year and next.

On December 18th, local time, the Central Bank of Brazil stated in its "Monetary Policy Report" that the Brazilian economy is expected to grow by 2.3% in 2025, an increase from the previously projected 2.0% growth. The economic growth forecast for 2026 has also been raised from 1.5% to 1.6%. The report notes that since September, inflation levels and inflation expectations in Brazil have slightly decreased but still remain above the target of 3%. It is expected that inflation in Brazil will continue to be above 3% in 2027 and is projected to reach the target value only in 2028.