Brazil - Gross capital formation (% of GDP)

Gross capital formation (% of GDP) in Brazil was 15.40 as of 2020. Its highest value over the past 60 years was 26.90 in 1989, while its lowest value was 14.63 in 2017.

Definition: Gross capital formation (formerly gross domestic investment) consists of outlays on additions to the fixed assets of the economy plus net changes in the level of inventories. Fixed assets include land improvements (fences, ditches, drains, and so on); plant, machinery, and equipment purchases; and the construction of roads, railways, and the like, including schools, offices, hospitals, private residential dwellings, and commercial and industrial buildings. Inventories are stocks of goods held by firms to meet temporary or unexpected fluctuations in production or sales, and "work in progress." According to the 1993 SNA, net acquisitions of valuables are also considered capital formation.

Source: World Bank national accounts data, and OECD National Accounts data files.

See also:

Year Value
1960 17.52
1961 18.84
1962 20.31
1963 19.04
1964 18.82
1965 19.42
1966 19.03
1967 16.65
1968 18.89
1969 22.52
1970 20.54
1971 21.26
1972 21.21
1973 22.04
1974 24.31
1975 25.70
1976 23.04
1977 22.05
1978 23.03
1979 23.14
1980 23.11
1981 23.58
1982 21.90
1983 17.88
1984 17.47
1985 20.30
1986 19.96
1987 23.17
1988 24.34
1989 26.90
1990 20.17
1991 19.77
1992 18.93
1993 20.85
1994 22.15
1995 17.29
1996 17.27
1997 17.76
1998 18.16
1999 17.39
2000 18.90
2001 18.74
2002 17.45
2003 16.86
2004 17.91
2005 17.20
2006 17.82
2007 19.82
2008 21.62
2009 18.80
2010 21.80
2011 21.83
2012 21.42
2013 21.69
2014 20.55
2015 17.41
2016 14.97
2017 14.63
2018 15.10
2019 15.40
2020 15.40

Limitations and Exceptions: Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total. Data on capital formation may be estimated from direct surveys of enterprises and administrative records or based on the commodity flow method using data from production, trade, and construction activities. The quality of data on government fixed capital formation depends on the quality of government accounting systems (which tend to be weak in developing countries). Measures of fixed capital formation by households and corporations - particularly capital outlays by small, unincorporated enterprises - are usually unreliable. Estimates of changes in inventories are rarely complete but usually include the most important activities or commodities. In some countries these estimates are derived as a composite residual along with household final consumption expenditure. According to national accounts conventions, adjustments should be made for appreciation of the value of inventory holdings due to price changes, but this is not always done. In highly inflationary economies this element can be substantial.

Statistical Concept and Methodology: Gross domestic product (GDP) from the expenditure side is made up of household final consumption expenditure, general government final consumption expenditure, gross capital formation (private and public investment in fixed assets, changes in inventories, and net acquisitions of valuables), and net exports (exports minus imports) of goods and services. Such expenditures are recorded in purchaser prices and include net taxes on products.

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Economic Policy & Debt Indicators

Sub-Topic: National accounts