|
|
Population |
190,010,647
|
|
GDP (purchasing power parity) |
$1.655 trillion (2006 est.) |
|
GDP - real growth rate |
3.7% (2006 est.) |
|
GDP - per capita (PPP) |
$8,800 (Rank 97 - 2006 est.) |
|
Labor force |
96.34 million (2006 est.) |
|
Household income or consumption by % share |
lowest 10%: 0.7%
highest 10%: 31.27% (2002) |
|
|
source: CIA-WFB |
econsultants
Centro Empresarial Naciones Unidas
Av. Naciones Unidas, 12.901
Sao Paulo
brazil@econsults.org |
|
Economy - overview:
Characterized by large and well-developed agricultural, mining, manufacturing, and service sectors, Brazil's economy outweighs that of all other South American countries and is expanding its presence in world markets. From 2001-03 real wages fell and Brazil's economy grew, on average only 2.2% per year, as the country absorbed a series of domestic and international economic shocks. That Brazil absorbed these shocks without financial collapse is a tribute to the resiliency of the Brazilian economy and the economic program put in place by former President CARDOSO and strengthened by President LULA DA SILVA. Since 2004, Brazil has enjoyed continued growth that yielded increases in employment and real wages. The three pillars of the economic program are a floating exchange rate, an inflation-targeting regime, and tight fiscal policy, initially reinforced by a series of IMF programs. The currency depreciated sharply in 2001 and 2002, which contributed to a dramatic current account adjustment; from 2003 to 2006, Brazil ran record trade surpluses and recorded its first current account surpluses since 1992. Productivity gains - particularly in agriculture - also contributed to the surge in exports. While economic management has been good, there remain important economic vulnerabilities. The most significant are debt-related: the government's largely domestic debt increased steadily from 1994 to 2003 - straining government finances - before falling as a percentage of GDP beginning in 2003. Brazil improved its debt profile in 2006 by shifting its debt burden toward real denominated and domestically held instruments. LULA DA SILVA restated his commitment to fiscal responsibility by maintaining the country's primary surplus during the 2006 election. Following his second inauguration, LULA DA SILVA announced a package of further economic reforms to reduce taxes and increase public investment. A major challenge will be to maintain sufficient growth to generate employment and reduce the government debt burden.
Leading Commercial Sectors
Aircraft & Parts
Airports
Computer Software
E-Commerce
Energy GTD
Highways
Insurance
Iron and Steel
IT Hardware
Medical Equipment
Mining
Oil and Gas
Pharmaceuticals
Pollution Equipment
Ports
Railroads
Safety and Security
Telecommunication
Travel and Tourism |
