Agribusiness grows 24.3% and accounts for more than a quarter of Brazil’s GDP

The GDP of agribusiness grew 2.06% in December and closed 2020 with a record expansion of 24.31%, with the sector expanding its participation to more than a quarter of the country’s economy, which had negative performance in other segments due to the impact of Covid-19. Both the agriculture and livestock production chain had expressive expansions in 2020, advancing 24.2% and 24.56%, respectively, driven by high prices and record harvests.

Source: Money Times

Ecorodovias showed good recovery and bets on positive ESG initiatives

BTG Pactual said that Ecorodovias’ results were in line with the bank’s projections, despite the non-recurring events reported, such as an accounting write-off of R$ 616 million ($108 mm) and fines and tax collections. The bank highlighted the positive performance of the company’s highways, which showed good recovery and had a movement above the average of the conceded highways, according to the index of the Brazilian Association of Highway Concessionaires (ABCR).

Source: Valor Investe

Fitch Ratings affirmed Itaipu’s ‘AA(bra)’ rating with stable outlook

The risk rating agency Fitch Ratings affirmed Itaipu’s ‘AA(bra)’ Long-Term National Rating with stable outlook, limited by the strong link of the company’s credit profile with Brazil, which historically purchases about 85% of the energy produced by the company, guaranteeing or financing 95% of its debt. The binational company also benefits from the great predictability of its cash flow, arising from the Itaipu Treaty signed between Brazil and Paraguay.

Source: Canal Energia

Effective real estate credit grew 78% in the 1st two months

The president of Caixa Econômica Federal, Pedro Guimarães, said that the effective real estate credit grew 78% in the first two months of 2021, compared to the same period last year. The credit portfolio for the segment, he said, should reach R$ 130 billion ($22.8 bn) this year, above the R$ 116 billion ($20.3 bn) of 2020, which had already been a record.

Source: UOL Economia

New investments in Brazilian sugarcane plantations are on the way

In the last two years there has been a significant expansion in investments in Brazilian sugarcane plantations. According to Seade data, this performance essentially reflects the amounts directed to sugarcane cultivation in São Paulo, which corresponded to almost 100% of the investments in the segment, both in 2019 and 2020. The survey recorded R$ 9.6 billion ($1.6 bn) in announcements of investments linked to sugarcane. Most of the resources, about R$ 7.4 billion ($1.2 bn), refer to agriculture, involving expansion and renewal of sugarcane fields.

Source: Portal do Agronegocio