The communication segment was the main highlight of the pace, with a growth of 1.5%, driven by companies that operate in the exhibition of films and streaming platforms, according to the IBGE.

Brazil's services activity grew more than expected in January, statistics agency IBGE said Friday, becoming the third consecutive monthly expansion of the sector in Latin America's largest economy.

The services sector increased 0.7% in January compared to December, while the economists surveyed had predicted a decrease of 0.4%.

The communication segment was the main highlight of the pace, with a growth of 1.5%, driven by companies that operate in the exhibition of films and streaming platforms, according to the IBGE.

"With the holiday period, movie theaters ended up receiving more audiences and increasing the income of companies in this segment," said the manager of the survey, Rodrigo Lobo.

Compared to the same month in 2023, services grew by 4.5%, also well above the expectation of a 1.6% increase and reversing a 1.9% drop in the previous month.