The Brazilian economy recorded growth of 2.3% in 2025, completing five consecutive years of expansion, according to data released by the Brazilian Institute of Geography and Statistics (IBGE). The Gross Domestic Product reached BRL 12.7 trillion in current values, while per capita GDP hit BRL 59,687, representing real growth of 1.9% compared to 2024.
The result, while positive, points to a deceleration compared to the 3.4% performance recorded in 2024. In the fourth quarter of 2025, the economy advanced just 0.1% compared to the previous quarter, reflecting the impact of the restrictive monetary policy adopted by the Central Bank, which raised the Selic rate from 10.5% in September 2024 to 15% in June 2025 in order to contain inflation.
The five-year growth trajectory highlights the resilience of the national economy: 4.8% in 2021, 3% in 2022, 3.2% in 2023, 3.4% in 2024, and 2.3% in 2025. Despite the contractionary pressure from elevated interest rates, the country closed the year with the lowest unemployment rate ever recorded in historical series.
On the production side, all sectors showed growth. Agriculture led with an expansion of 11.7%, accounting for 32.8% of total GDP variation in the period. Record harvests of corn, up 23.6%, and soybeans, up 14.6%, were the main highlights. The services segment grew 1.8%, driven by information and communication performance, which advanced 6.5%. Industry expanded 1.4%, with oil and natural gas extraction standing out at 8.6%.
On the demand side, household consumption grew 1.3%, at a more moderate pace than the 5.1% in 2024. The advance was supported by labor market improvements and government transfers but constrained by elevated interest rates that make consumer credit more expensive. Government consumption rose 2.1%, while investments advanced 2.9%, driven by capital goods imports and construction sector expansion.
Economists consulted assess that the growth forecast for 2026, currently at 1.82% according to the Central Bank's Focus Bulletin, will depend heavily on the speed at which the Copom conducts the rate-cutting cycle initiated this month. The labor market, which created 112,334 formal jobs in January according to Caged data, remains a key support for economic activity.