Economists predict that President Jair Bolsonaro’s pro-business policies will finally deliver a long-awaited recovery in Latin America’s biggest economy, boosting growth to 2.0-2.6 per cent in 2020 from around 1 per cent this year — although they concede that a similarly optimistic forecast for this year has failed to materialise.
Former senator and two-time governor of Matto Grosso, 63-year old billionaire Blairo Maggi, has been instrumental in the growth of Brazil’s agribusiness sector. He remains a leader of the “ruralist bench”, the agribusiness lobby that dominates Congress and supports President Jair Bolsonaro. In 2005, Greenpeace gave him the Golden Chainsaw award, for his “unparalleled contribution to Amazonian deforestation”. However, in an interview with Al Jazeera, Maggi says that it is possible to increase Brazil’s agribusiness in a sustainable way.
Nestlé SA, which aims to eliminate deforestation from its supply chain over the next three years, has stopped buying Brazilian-produced soybeans from agricultural trading firm Cargill Inc. after a review couldn’t trace the oilseeds back to specific plantations, raising concerns that they were produced on converted land. Brazil’s accelerating deforestation is pressuring food makers, retailers, investors and commodity traders to shake up supply chains in an effort to push back on land-clearing and achieve environmental goals.
Banco do Brasil (BB) account holders will not pay the overdraft fee that will come into force in June next year. In a statement, the financial institution said it had opted to insure current and new customers throughout 2020. CMN Resolution 4765 of 27 November 2019 provides that banks can charge this type of new contracts. , from January 6th. For current ones, the fare is expected to take effect on June 1, 2020.
Small-cap funds were the most profitable type of equity investment fund in the 12-month period ended in November 2019: 40 percent, according to the Brazilian Association of Financial and Capital Market Institutions (ANBIMA). These funds privilege securities of amounts deemed low in the stock market, with a capitalisation ranging from R$300 million (US$75 million) to R$2 billion.
Brazil’s President Jair Bolsonaro said on Thursday that a bill authorising mining on protected indigenous reserves was ready and only needed to be sent to Congress for consideration. Bolsonaro told supporters that indigenous people should also be allowed to commercially farm on reserves, a practice currently prohibited, and that native populations should be involved in a drive to expand the country’s beef production.
Brazil’s Economy Minister Paulo Guedes said he had reached agreement with Congressional leaders on modernizing the country’s complex tax system next year and one option could be taxing online transactions. Brazil has brought its snowballing public debt under control with reform of the costly pension system and spending cuts, he said, while interest rates are at record lows after the central bank cut its benchmark Selic rate to 4.50%.
While research is scant, evidence points toward pesticide harm to Brazil’s wildlife, including the death of 500 million bees in four Brazilian states between December 2018 and February 2019. Another report found that 40 percent of samples collected from 116 tapirs were contaminated with insecticides, herbicides and heavy metals.
Brazilian authorities targeted Maersk and other companies for allegedly paying bribes to get an edge in securing shipping contracts with Petrobras. Federal prosecutors said that Denmark’s A.P. Moller-Maersk, the world’s largest shipping company, was involved in allegedly paying $3.4 million in bribes related to 11 shipping contracts with Petrobras, worth 592 million reais ($141.07 million).
A Brazilian congressional committee on Tuesday approved the government’s budget for next year, with the bill based on projected 2.32% GDP growth in 2020 to be put to a vote in a joint session of Congress on Wednesday. The government projections contained in the budget proposal see inflation at 3.52% for next year, the benchmark Selic interest target at 4.40% and an average exchange rate of 4 reais to the dollar.