LatinNews Daily - 04 February 2026

*Brazil’s national statistics institute (Ibge) has released its latest figures for the country’s industrial production, showing this registered a monthly drop of 1.2% in December 2025 although was up 0.4% year-on-year. In accumulated terms, annual production for 2025 was up 0.6% compared to 2024. According to Ibge the final months of 2025 were an especially negative period, with a 0.5% monthly decrease in September, stagnant production levels in October, and a 0.2% drop in November. The 1.2% monthly drop registered for December is the greatest decrease of any month in 2025. Of the 25 product categories measured by the Ibge, 17 posted monthly declines in December, with the greatest decreases registered in computer equipment, electronic, and optical products (-9.2%) and textile products (-9.0%). In a press release, the Ibge highlighted the impact of the country’s high interest rates, with the benchmark interest rate currently set a 15.0%, as a factor that has restricted the industrial sector. However, the central bank (BCB) has signalled that it could begin a cycle of rate cuts in its next monetary policy committee meeting in March.

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