NBSO Brazil organizes a webinar to present political and economical outlook for Brazil in 2018, as well as its planned activities.
After a brief introduction on the Dutch Economic network given by NBSO Brazil, Mr. Roderick Wols, Minister Plenipotentiary at the Netherlands Embassy and Head of the Economic Network Brazil, will analyze the current political and economic situation and scenarios for this presidential election year.
NBSO Brazil will finalize with a summary of the NBSO Brazil year plan 2018; a both regional and sectorial approach towards identifying potential markets for Dutch companies to export and invest.
Brazilian economy in numbers: back on track
Numbers of the fourth quarter of 2017 suggest the recovery gained momentum, after GDP grew at the fastest pace since Q1 2014 in the third quarter of 2017. Economic activity gained force in November, and industrial production grew at the fastest pace in over two years in December. On an annual basis, GDP grew 2.1 percent in the 4th quarter. For the full year, Brazilian GDP grew 1 percent in 2017, slightly below median estimates of 1.1 percent.
In addition, the unemployment rate went down in Q4, improving private consumption in the period. Early data for 2018 also points to improving economic conditions: Consumer sentiment rose to a multi-year high in January. For 2018, economist estimate the economy growing 2.5%. Optimistic Brazilian Finance Minister Henrique Meirelles predicts a 3% GDP growth for 2018.
Political situation: uncertainty and exchange rate risks
Political events ranging from pension reform (abandoned for now) to federal intervention in the State of Rio de Janeiro are dominating the news and generating uncertainty in financial markets. On 24 January appeals court held up former President Luiz Inácio Lula da Silva’s corruption sentence. As a result the Ibovespa—Brazil’s benchmark stock index—surged to a record high. The ruling should make Lula ineligible to run for presidency in October’s vote; however, Lula maintains his innocence and will likely keep fighting the charges. Heightened uncertainty in the run-up to the elections could generate volatility in Brazil’s exchange rate and in financial markets.
Opportunities for Dutch companies in Brazil
The NBSO offices identified three areas of special interest for 2018 where existing capacity of the local NBSO offices will be allocated in order to maximize the potential result of services and information provided to Dutch companies as follows:
For Minas Gerais NBSO Brazil has activities planned in the following sectors:
For the Southern Region activities include:
During the webinar, NBSO will detail the plans for 2018.
Sergipe Street nº1167 – Room 1502 Funcionários – BH/MG CEP: 30130-171