BRASILIA, May 29 -- Brazil's gross domestic product (GDP) will show a greater decline in the second quarter of 2020 compared to the first quarter due to the novel coronavirus pandemic, the Brazilian Economy Ministry stated on Friday.
"The harmful effects on the health of the Brazilian population and our economy still persist. Therefore, the economic result of the activity will, in the second quarter, be even worse," the ministry said in a statement, predicting an increase in unemployment, bankruptcy, and poverty in the country.
Economic activity in the country fell 1.5 percent in the first quarter of the year compared to the previous three months, the Brazilian Institute of Geography and Statistics reported on Friday.
The ministry said that the government has adopted measures to cushion the country from the initial shock as well as the lasting effects of the crisis, but that prolonging the period of isolation could worsen the crisis and compromise the speed of economic recovery.
The ministry proposed a series of measures to mitigate the economic effects of the crisis, such as supporting structural reforms, modifying bankruptcy legislation and opening trade, among others.
The Brazilian government has said that, in the face of the economic impact of the pandemic, it intends to promote privatizations, concessions, and fiscal reforms.
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