Month: May 2020

Due to Covid-19, government accounts record shortfall of $ 17 bn

The primary result, balance between expenses and revenues excluding interest expenses, from the Central Government, which includes the National Treasury, Central Bank and Social Security accounts, registered a deficit of R$ 92.902 billion ($ 17 bn) in April 2020. The value is the worst for April and is close to the R$ 95 billion ($ 17,3 bn) fiscal deficit in 2019.

Santander invests $ 5 mm in Brazilian fintech

Santander announced an investment of $ 5 million in the Brazilian startup a55 through its Santander InnoVentures venture capital fund. This is the fourth investment that the fund makes in Latin America and the 30th made in a fintech. Prior to this round, a55 had raised $ 3 million from Brazilian and foreign angel investors.

Petrobras raises $ 3,25 bn abroad during pandemic

Petrobas raised $ 3.25 billion by issuing bonds in the international market. It was the first capture of a Brazilian company after the start of the pandemic. The capture was made in two different plots. The first, of $ 1.5 billion expires in 2031 and has an interest rate of 5.6% per year. The second, of $ 1.75 billion expires in 2050 and has an interest rate of 6.9% per year.

Hering’s profit falls 89% with store closings

Fashion retailer Hering saw nearly a 90 percent drop in first quarter earnings, directly affected by the social isolation measures taken in mid-March in the country to try to contain the coronavirus pandemic. The company reported that its profit for the period amounted to R$ 5 million ($ 1 million), down 89.2% from the same stage of 2019.

Exports of orange juice from Brazil grew 17%

Brazilian exports of orange juice rose 17% in the accumulated ten months of the 2019/20 harvest, compared to the same period of the previous season, with an increase in demand from the European Union, the main buyer, the association of the sector CitrusBR said based on government data.

Petrobras raises $ 3.25 bn in the international market

Petrobras recently concluded the raising of $ 3.25 billion with the sale of securities in the international market, according to market sources. The operation came in two series. The first, with a 10-year term, totalled $ 1.5 billion and closed at a rate of 5.60%. The other, which matures in 30 years, raised $ 1.75 billion and came out at 6.90%.

Industry and retail sales fell more than 30% from March to April

Industry and retail sales fell by more than 30% in April, compared to March, according to the Sectoral Monitoring Bulletin of Economic Activity, released by the Ipea. In the services sector, the decline was 23.7%. In addition to the paralysis of a “wide range of productive activities”, the fall in domestic and foreign demand caused a strong retraction in all sectors of the economy.

Tour operators lose $ 182 mm in sales

Tour operators in the country had a 90% drop in revenue in April, compared to the same month of 2019, which corresponds to a loss of R$ 1.08 billion ($ 182 mm). The drop is a result of the crisis experienced by the tourism sector due to the covid-19. For the year, it is expected that tour operators will show a 51% to 75% drop in revenue, reaching an amount between R$ 7.7 billion ($ 1.4 bn) and R$ 11.3 billion ($ 2 bn).