Rio de Janeiro, Sep 3 (EFE).- The Brazilian economy grew 1.2 percent in the second quarter after notching a rise of 2.7 percent in the previous three-month period, but is still up 8.9 percent for the first half of the year compared with 2009, the IBGE statistics agency said Friday.
Officials had predicted a slowdown from the torrid pace of the first quarter, yet April-June growth in gross domestic product exceeded the most optimistic forecasts, which called for an advance of no more than 1 percent.
The drivers of growth in the second quarter were agriculture and fishing, up 2.1 percent; industry, 1.9 percent; and services, which gained 1.2 percent.
A cooling-off was inevitable with the end of stimulus measures adopted during the recession and the central bank's decision to raise interest rates as a precaution against inflation, Finance Minister Guido Mantega said.
The government expects Brazilian GDP to expand by 7 percent this year, following a contraction of 0.2 percent in 2009.
Over the 12 months ending June 30, Latin America's biggest economy grew 5.1 percent over the period from July 2008-June 2009, the IBGE said.
Business investment soared 26.2 percent in the first six months of 2010, while household consumption increased 8 percent.
The rise in spending by businesses and families caused a record 39.2 percent surge in imports, compared with 10.5 percent growth in exports.
