Money August 18, 2018

Industry 4.0: is Brazil ready for the change?

industry 4.0 brazil innovation investments

During Brazil’s worst recession on record, no economic sector lost more than industry. For 14 months in a row, Brazilian industry posted negative results. As a result, industry started to account for a smaller share of the GDP – even in a scenario of economic retraction. Rock bottom came at the beginning of 2016, when… Read More »

How Brazilian banks make huge profits despite the crisis

How Brazilian banks make huge profits despite the crisis

In the words of the International Monetary Fund, the Brazilian economy is “underperforming relative to its potential, public debt is high and increasing, and, more importantly, medium-term growth prospects remain uninspiring.” If the fund’s predictions are correct, Brazil’s GDP will grow by only 1.8 percent, after numerous revisions. In 2019, the next president will inherit… Read More »

Agriculture could help preserve Brazil’s native vegetation

More efficient farming key to conserving Cerrado's native vegetation brazil agribusiness

In 2015, one region of Brazil was nicknamed “the last agricultural frontier of the world.” Known as “Matopiba,” this unofficial territory comprises 337 municipalities in four states (Maranhão, Tocantins, Piauí, and Bahia), adding up to 73 million acres and 25 million inhabitants. Between 2000 and 2014, it increased its agricultural production by 239 percent. Matopiba’s… Read More »

What Brazilian agro will look like in ten years

brazil grains soybeans production agribusiness plantations ruralists oil corn brazilian coffee orange

Rice and beans are a trademark of everyday Brazilian cuisine. It’s even made it into the lexicon: calling something “rice and beans” is to describe it as basic, yet essential. But the importance of this traditional pairing is dwindling among Brazilian consumers, and especially among agribusiness producers. According to a recent study by the Ministry… Read More »

How Brazil has been targeted by international trade barriers

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Pão de queijo, the traditional, gluten-free Brazilian chewy cheese roll, has been making waves in New York City. A number of restaurants serving this signature food from the state of Minas Gerais have popped up over the past few years. In the European Union, however, they are banned. Labeled as a dairy product, pão de… Read More »

Analyzing public spending in Brazil

brazil public spending deficit budget recession

Brazil is undergoing an extremely sensitive economic moment. Public debt is rampant, investments are down, and the government doesn’t seem to be able to rationalize public spending. According to the Treasury Department, the public sector registered a BRL 13.5 billion primary deficit in June alone. Meaning that, even without taking into consideration the interest rates… Read More »

A deeper look into Brazilian agribusiness

brazilian agribusiness corn

Agribusiness is what has protected Brazil’s economy from total collapse after the country experienced its worst recession on record. In 2017, it was responsible for 23 percent of the country’s GDP. Therefore, it’s surprising how little importance Brazil has given to closely studying the sector. After a long 11-year gap, the Brazilian Institute of Geography… Read More »

Where Brazilian investors put their money

brazilian investors money conservative risk economy

Brazilians are not very keen on investing in the stock market, as shown by a recent survey from the Brazilian Association of Finance and Capital Institutions. It’s not as if they are unaware that stocks are available as an option – the stock market is the second-best known type of investment in the country –… Read More »

Brazil’s agribusiness to suffer from worst drought season

south minas drought brazil northeast agribusiness coffee soybeans sugarcane

As one of the world’s biggest agricultural producers, Brazil will be pivotal for global food security, according to the United Nations Food and Agriculture Organization (FAO). During a conference on July 23, a representative of the agency stated that Brazil will have up to 70 percent of the world’s arable land growth by 2050. Of… Read More »

These charts show how isolated Brazil’s economy is

where global tariffs are higher Brazil's economy

During an event this week, the CEO of Goldman Sachs Brazil rated the country’s productivity indicators as “disastrous.” According to Maria Silva Bastos Marques, improving the efficiency levels of Brazilian workers is actually more important to the country’s development than reforming the economy’s legal framework. As a matter of fact, a Brazilian worker produces 25… Read More »