The word is spreading about Brazil, a place to which property investors and retirees alike are turning. Brazil, the world’s 5th largest country, the 9th largest economy and one of the largest democracies, has shown strong resilience during the global economic downturn. As one of the emerging “BRIC” countries – with Russia, India and China – Brazil is expected to show enormous economic growth in the near future.
The BRIC phenomenon, first defined in a 2001 report by Goldman Sachs, is based on the forecast that these nations have the potential to outstrip the current economic leaders over the next half-century, as a result of their huge workforces, abundant natural resources and improving economic strategies.
The Goldman Sachs report is just one indicator of Brazil’s enormous potential. There are many reasons to be optimistic for its economic future, including large infrastructure developments, a rapidly growing and active middle class and increased air connections.
Among the positive signs: Brazil will host the 2014 World Cup and the 2016 Summer Olympics; domestic oil production has drastically reduced its dependence on expensive imported fuel; and it is currently discussing a deal with the United States to export bio-fuel manufactured from sugar cane. Already in Brazil, 8 out of 10 new cars run on this non-fossil fuel.
Eeconomic growth, coupled with rising wages, falling unemployment rates and significantly lower inflation levels, have recently generated robust overseas investment in Brazil.