SÃO PAULO — Brazil’s economy will shrink by 1 percent in 2015, down markedly on previous forecasts, according to a report by the IMF released on Tuesday.
“Latin America’s outlook will continue to weaken due to lower commodity prices. Brazil’s outlook is also affected by a drought, tighter macroeconomic policies, and weak private sector sentiment,” the report said.
The IMF analysis also cited the risk of water and energy rationing and repercussions from a sprawling corruption scandal at state-run oil giant Petrobras, Brazil’s largest company, as complicating the country’s economic outlook.
Ben Tavener 