Santa Catarina’s economic activity grew 5.1% in February, compared to the same month last year.
The percentage is above the Brazilian average, 2.6% in the same period. According to analysis of the FIESC Observatorythe performance was motivated by the interest rate reduction cycle in Brazil and the maintenance of family consumption, in addition to growth in exports.
The industry grew 6.6% in comparison. The electrical equipment sector grew 21.3% in the period, while the machinery and equipment segment advanced 3.7%both encouraged by the downward trajectory of the Selic, which favors the acquisition of capital goods.
“The industry’s contribution to Santa Catarina’s economic activity was also due to the state’s record volume of exports in the first quarter of 2024. The sale abroad of technology-intensive capital goods grew 11.3% from January to March this year and boosted the Santa Catarina economy”, stated the president of the Federation of Industries of SC, Mario Cezar de Aguiar.
The economist Camila Moraisfrom the FIESC Observatory, highlights that external demand in the timber sector also contributed to performance, with the expansion of 13.5%.
“The better conditions in the United States construction industry have increased the sector’s exports and also sales of electric motors”, he highlighted.
She also explained that exports of liquid pumps, machines and mechanical devices with their own function and agricultural machinery to Latin American countries also contributed to performance.
According to analysis, trade had the biggest variation in February compared to the second month of last year, with expansion of 11.3%. The result also reflected the cycle of falling interest rates and the maintenance of a high level of family consumption. Sales of household appliances, for example, grew by 18.4%being the sixth consecutive expansion compared to the same month of the previous year.
In this scenario, emphasis is also placed on the sale of vehicles, motorcycles, parts and pieces, with a high 22.7% in the period. This activity boosted the sale of fuels and lubricants, which grew 4.8% in the period analyzed. The improvement in conditions of access to credit and the fall in prices encouraged an increase in sales of construction materials, which grew 5% in February.
The sale of equipment and materials for office, IT and communication also increased, from 19.5%influenced by the expansion of administrative activities and complementary services, which involve labor rental and office services.
The services segment grew 8.4%also driven by high household consumption, which boosted transport and storage services, which grew 9.3% in the interannual analysis, especially road freight transport.
