Brazil may trim 2009 GDP growth in budget outline

Tue Nov 4, 2008 5:55pm EST
BRASILIA, Nov 4 (Reuters) - Brazil's government could reduce its forecast for the gross domestic product (GDP's) growth in its 2009 budget outline due to the global financial crisis, Planning Minister Paulo Bernardo said on Tuesday.
The increase in Brazil's GDP could be revised down to 3.7 to 3.8 percent, compared with 4.5 percent previously.
"(The economic growth) is a little smaller than we had forecast," Bernardo told reporters adding the revision has not been formally defined yet.
Brazil's 2009 budget proposal is expected to be sent to Congress by Nov. 20.
Brazil's net tax revenue could fall next year by up to 9 billion reais ($4.26 billion) from the previous estimate due mainly to a lower pace of economic growth, Bernardo said.
The 4.5 percent inflation estimate for 2009 could also be raised, he said, in line with market's expectations.
($1 = 2.111 reais)
(Reporting by Fernando Exman; Translated by Inae Riveras; Editing by Diane Craft)