Brasília, June 16, 2003 (Agência Brasil - ABr) - The market continues to be pessimistic about the growth of the economy, according to the results of a survey of the financial system conducted by the Central Bank. The forecast for the GDP (Gross Domestic Product) in 2003 declined once again, from 1.85% to 1.80%, even though the analysts reduced their expectations for the Selic (prime interest rate) from 21.33% to 21% by the end of the year. The Selic currently stands at 26.5%, and on Wednesday (18) the Central Bank will announce its decision about the tendency in the prime rate.

Despite a drop in expectations for foreign direct investments, from US$ 11 billion to US$ 10.1 billion, estimates for the current accounts deficit improved and were reduced from US$ 3.97 billion to US$ 3.80 billion. This projection is influenced by expectations for a trade balance surplus of US$ 16.3 billion, instead of the US$ 16.1 billion registered in the previous survey. (DAS)