Consumer credit demand in Brazil rose 7.8% year over year in the first half of 2019, slower than the 11.1% growth recorded in the year-ago period, Valor Econômico reported, citing credit research company Serasa Experian.

The slowdown was driven by a rise in inflation in the first quarter, which prompted households to prioritize the payment of bills instead of borrowing, Serasa Experian Economist Luiz Rabi reportedly said.

Demand for credit began to pick up in April and saw its biggest jump in June, when inflation was 0.01%, the lowest level so far this year, Rabi noted.

"As a result, people were more confidently looking for credit, and the high in June was similar to the same period in 2018 of 9.8% and 9.9%, respectively," the economist added.