The advantage of Investing in Brazil

Dr. Joo Bosco Monte

Beijing, Oct /31/2013

Why Brazil?
Signs of prosperity
Brazil will become 5th largest economy in the world 3rd largest footwear producer 3rd largest cosmetics market 7th largest consumer market 5th largest clothing industrial structure

Why Brazil?
Signs of prosperity
Brazil is
GDP - US$12,000 (per capita - 2012) Labor force 107.1 million (2012)

Unemployment rate 6.2% (2012)

Largest seller of Ferrari in So Paulo Largest consumers of Yachts

Largest fleet of helicopters

Largest fleet of private jets Big events (2014 Soccer World Cup / 2016 Olympic Games)

What is Brazil doing today to be so dynamic?

Stable economy Clean energetic matrix Portal to Latin America Opening to the world Liberalized trade Domestic institutional reforms

Reforming the judiciary to improve efficiency

Investing in infrastructure Growth Acceleration Plan (PAC I and II)

Brazilian investment environment

Social and economic growth
stability and environmental sustainability Social and macroeconomic structure

Strong domestic market

Richness of natural and cultural assets Open markets and multilateralism Clean and abundant renewable energy Democratic stability

Brazilian investment environment

Decreasing of Poverty rate (%) Enlarging the domestic market

Source: FGV

Some areas of investment in Brazil

Aerospace Industry
Embraer - 5,000 aircrafts operating in 92 countries Domestic aviation in Brazil grew 194% in the last decade Brazil is the second largest market for the executive aviation industry worldwide

Some areas of investment in Brazil

Renewable Energy
almost 50% of Brazils total energy consumption currently derived from renewable sources Brazilian government aims to increase renewable energy consumption at least 10% by 2020. Social Program Light For All encourage development of alternative energy systems in isolated locations of the country

Some areas of investment in Brazil

Oil and Gas

Chinese investment in Brazil

$200 million before 2009 $21 billion in the 2009-2012 period

Chinese investment in Brazil

Perspective of Chinese investment in Brazil

Bilateral agenda partnerships Wide space for opportunities South America Africa Well-developed industrial sector targeting Latin America as a whole Human Resources Exchange Programs Science Without Borders Natural resources BRICS projects Infrastructure projects

Perspective of Chinese investment in Brazil

Growth Acceleration Program 2 - PAC 2
PAC 2 Projects (US$ bn) PAC Better City PAC Citizens' Community PAC Minha Casa Minha Vida PAC Water & Electricity for All PAC Transport PAC Energy Total 2011 - 2014 After 2014 32.6 13.1 159.0 17.5 59.7 263.8 545.7 2.6 358.2 360.8 Total 32.6 13.1 159.0 17.5 62.3 622.0 906.5

Perspective of Chinese investment in Brazil

Infrastructure projects "Infrastructure will be the top focus area for Chinese companies seeking cooperation with Brazil Li Jinzhang
Chinese ambassador to Brazil

"The simple fact that two Chinese companies have entered the oil field signifies a very large opening for other companies to come " Michel Temer
Vice President of Brazil

 Obrigado! Thank you!

jboscomonte@gmail.com