10% cut in energy consumption in Brazil could reduce GDP by 1% -Credit Suisse

The fear comes amid the most significant drought in the last 91 years, which reduced the reservoirs of the hydroelectric plants and generated uncertainties about the supply of electricity.

RIO DE JANEIRO, BRAZIL - A 10% reduction in energy consumption in Brazil in 2022 can reduce the Gross Domestic Product (GDP) by one percentage point, according to the chief economist at Credit Suisse Brazil, Solange Srour.

The executive recalled that, thus, with the projection that the GDP will grow by 1.1% in 2022, an eventual scenario of reduced demand for energy could zero out the country's growth next year. The fear comes amid the most significant drought in the last 91 years, which reduced the reservoirs of the hydroelectric plants and generated uncertainties about the supply of electricity . . .

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