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Brazil Desk

 

KPMG's New & Emerging Markets practice has a dedicated Brazil Desk to assist UK companies investing in Brazil, and to support Brazilian companies investing in the UK.See below for a Country Profile, Economic Data, and Useful Links.

 

Country Profile

National title: Federal Republic of Brazil
(República Federativa do Brasil)
Situated: South America, 5º north to 33º south, 35º to 74º westerly longitude
Area: 8.5 million km2
Capital city: Brasília, 450,000 inhabitants (federal district, 2.2 million inhabitants)
Population: 186 million (as of: May 2006); growth, 1.4% (2006) p.a.; ethnic diversity changing from region to region. Predominantly European, African minority groups, indigenous groups.
National languages: Portuguese in Brazilian variants.
State and governmental system: Socialist People’s Republic
Head of State: Luiz Inácio
Head of Government: Lula da Silva
Administrative structure: 26 federal states and the federal district, municipalities (municípios).
Membership of international organisations:

United Nations (founding member), UN-Special organisations, World Bank, IMF, WTO, among others. Organization of American States, Mercosur.

 

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Economic Data 2005

Currency: Real (R$); 1R$ = 100 Centavos.
Exchange rate: Annual average in 2005: 1 USD = 2.433 R$; ; 1 EUR = 3.314 R$. 
Gross Domestic Product
(GDP 2005 in USD bn, nominal):
793 (+ 189 over previous year).
GDP per inhabitant (in USD): 4262 (+937 over previous year).
Economic growth: 2.3% (4.9% in previous year).
Inflation rate: 6.9% (6.6% in previous year).
Unemployment: 8.3% (11.5% in previous year).
Average wage: 418 USD (379 USD in previous year).
Foreign trade (in USD bn) — Import: 73.55 (+17.1% over previous year).
Foreign trade (in USD bn) — Export: 118.31 (+22.6% over previous year).
Balance: 44.76 (+32.9% over previous year).
Important import goods (share in %): Chemicals and chemical products 19.9; fuels 18.3; machinery 13.7; electronics 11.9; auto and parts 5.7; electro-technology 5.4.
Important export goods (share in %): Transport equipment 16.2; metals and metal products 10.7; soy 8.0; crude oil and by-products 7.7; meat 6.8; iron ore 6.8; chemicals and chemical products 6.3; machinery 5.9; electrical equipment 4.2; sugar 4.0.
Main supplier countries (share in %): USA 17.5; Argentina 8.5; Germany 8.4, China 7.3; Japan 4.6.
Foreign direct investment (FDI, influx): 15.2 bn USD
Main FDI countries (share in %): The Netherlands: 19.3; USA: 18.9; France: 7.2; Spain: 6.5; Portugal: 4.2; Germany: 4.2.
Main FDI sectors (share in %): Telecommunication: 20.4; foodstuffs industry: 11.3; trade: 8.4; electricity and gas: 7.0; chemicals: 6.8; automotive industry: 6.6; financial services: 6.5.
Foreign trade with Germany (in EUR bn):
German imports:


5,724 (+24.8% over previous year)
German exports: 5,457 (+17.3% over previous year)
German direct investment in Brazil (in EUR m): Figures for 2003: EUR 3,600 m
Brazilian direct investment in Germany (in EUR m): Figures for 2001: EUR 46 m
Investment Protection Agreement No
Double Taxation Convention No

As of: May 2006 (where not otherwise noted)
Sources:
German Foreign Office
German Office for Foreign Trade
Brazilian Embassy in Germany

Useful Links
KPMG Brazil
Brazilian Government
Foreign Ministry of Brazil
Brazilian Trade Promotion Network
Instituto Brasileiro de Geografia e Estatística (IBGE)
Ministério de Desenvolvimento, Indústria e Comércio (MDIC)
Associação Brasileira da Indústria de Máquinas e Equipamentos (ABIMAQ)
The National Information Network (RENAI)

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New & Emerging Markets Quick Access

 

Click here to see Sean Collins, Chairman of KPMG's Global Communications and Media Practice, talk about the impact of emerging markets in the telecoms industry  

 

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