The Brazilian Government has raised its economic growth forecast for the year 2017, news agency Brasil reported.

The Government now expects the nation’s Gross Domestic Product (GDP) to expand by 1.6 percent year-on-year in 2017, compared to a previous estimate of 1.2-percent. 

Carlos Hamilton Araújo, Secretary for Economic Policy in Brazil’s Finance Ministry, made the announcement this week, the media outlet said.

“We have indications that the second half [of this year] will report better performance than the first,” Mr Araújo was quoted as saying. 

The Government also said this year’s contraction in the economy is likely to be milder than forecast: 3 percent, rather than an earlier estimate of 3.1 percent.