The International Monetary Fund (IMF) sees Brazil as closer to emerging from recession.

The information is contained in a report published by the international body. In the document, the IMF estimates that Brazil and Russia are increasingly closer to coming out of their economic downturn scenarios. “In Latin America, Brazil’s economy remains in recession, but activity appears to be close to bottoming out,” reads an excerpt from the report.

The IMF assessment is that political uncertainty has lost momentum. The Fund considered that even the recession is now more moderate, and stated that there is a need to boost confidence and investments.

The IMF pondered that approving the bill that limits the expansion of public spending and establishing a coherent fiscal consolidation framework would represent signs of political commitment.

The Fund also argues that three factors are required to increase investments: simplifying taxation, reducing trade barriers and addressing infrastructure deficiencies in order to reduce the cost of doing business in the country.

Source: BrazilGovNew