RIO DE JANEIRO, BRAZIL - The coronavirus pandemic toppled the central sustaining pillar of the Brazilian economy, household consumption, which recorded an unprecedented drop in March, according to data from the GDP Monitor, an indicator published by the Getúlio Vargas Foundation's Brazilian Economics Institute (IBRE) on Monday, May 18th.
The economy contracted by an unprecedented 5.3 percent in the first month of the country's social isolation, compared to February, with a 6.5 percent drop in Brazilian household consumption. Accounting for about two-thirds of GDP, consumption had been growing by two percent per year and sustaining . . .