Government warns it will not permit overvaluation of real
16 de setembro de 2010STF discutirá se derruba Ficha Limpa por completo
23 de setembro de 2010Marcelo de Ávila, at the National Industrial Confederation (“CNI”), has released a report that shows that the Brazilian economy “lost” a total of R$248 billion between October 2008 and the end of 2009, due to the international financial crisis. Ávila says half that amount, around R$121 billion, was due to lost business in the industrial sector after credit disappeared, demand abroad went belly up and domestic sales plummeted.
Brazil responded by sharply cutting sales taxes, which was followed by a surge in purchases of automobiles, home appliances and construction materials. Ávila says that at this moment (September 2010) the situation in the Brazilian industrial sector is almost back where it was two years ago when the crisis began. In fact, two of the six segment indicators in the most recent CNI sector survey (sales, hours worked, jobs, salary mass, median income and use of installed capacity) are already above pre-crisis levels (median income and use of installed capacity).
According to Ávila, the only reason growth in the Brazilian industrial sector has not been even stronger is the slow recovery abroad, especially in the United States and Europe. Another problem the sector faces is very stiff competition in the form of Chinese manufactured goods.
