Coronavirus

FDI takes a nosedive in Brazil

Central Bank data shows that foreign direct investment (FDI) in Brazil has taken a nosedive in May 2020, falling to just USD 2.6 billion, or 69 percent less than a year ago. In the January-May stretch, the drop has been less dramatic, but still sizable: 35 percent from 2019.

That continues a trend imposed by the pandemic, which made markets more risk-averse. In April, FDI amounted to only USD 234 million — or 95 percent less than the previous year, when investments from abroad reached USD 5.1 billion.

A quick turnaround seems rather unlikely, as Brazil has become the international reference on how not to deal with the coronavirus crisis. Despite having a population much smaller than the U.S.’s, Brazil has registered more new deaths and cases per day than any other country in the world.


Support this coverage →
Gustavo Ribeiro

An award-winning journalist, Gustavo has extensive experience covering Brazilian politics and international affairs. He has been featured across Brazilian and French media outlets and founded The Brazilian Report in 2017. He holds a master’s degree in Political Science and Latin American studies from Panthéon-Sorbonne University in Paris.

Recent Posts

Market Roundup: The new skills corporate board members need

The specialization trend among corporate board members It is not only a matter of perception:…

16 hours ago

As elections near, what’s next for Panama’s closed copper mine?

Panama will hold its presidential elections on Sunday, months after huge protests saw thousands descend…

16 hours ago

Madonna concert to inject BRL 300 million into Rio economy

The city of Rio de Janeiro estimates that a Madonna concert this Saturday on Copacabana…

1 day ago

Panama ready to vote as Supreme Court clears frontrunner

Latin America’s trend of banning opposition candidates from elections has caught on in an ever-growing…

1 day ago

Sabesp privatization edges closer with São Paulo legislation

The São Paulo City Council on Thursday approved legislation authorizing Brazil’s largest city to sign…

2 days ago

Brazil’s AI regulation gets first draft to guide upcoming debates

The preliminary report on AI regulations presented to Brazil’s Senate last week provides a middle-of-the-road…

2 days ago