Brazil goes from Strength to Strength

Continuous economic expansion has resulted in the sustainable growth and increased strength of the Brazilian economy. Figures collated in May 2011 by the IMF (International Monetary Fund) highlighted Brazil’s superior economic development as it indicated that the Brazilian GDP had grown by 7.5% in the last year. This was Brazil’s largest margin of growth in 20 years, demonstrating the leaps and bounds Brazil has taken towards becoming a global economic power. This figure also contrasted Brazil’s progress with the seemingly meagre margin of growth attained by the U.S and U.K who’s GDPs grew by 2.8% and 1.3% respectively.

Brazil’s advancements were also further compounded as Brazil’s economy grew in the first quarter of this year between January and March. This growth has been attributed to increased class mobilisation within the middle and upper classes of the ever expanding Brazilian population. This in turn has lead to more expenditure in regards to the amount of consumer goods bought.

 U.S Jewellery company Tiffany’s has one of it’s largest contingent of stores in Brazil and companies such as Macintosh are seeking to tap into this market, identifying Brazil as a location in which they would wish to manufacture their new Apple iPad, in an attempt to reduce production costs, making it more viable for the Brazilian purchaser.

Brazil, recognised as the largest Latin-American economy, has also been subject to foreign investments, the latest of which was on the behalf of the Bank of America Corp. The bank is currently expanding in Brazil, equipped with a new commercial banking license. This license will enable the company to offer cash-management services for their corporate clients in the country as well as take payments and deposits which in turn will increase the banks competitiveness.