CNC estimates impact of $2.3 bn in retail with new emergency aid

The impact on retail of the new round of emergency aid, which began to be paid last Tuesday, should be R$ 12.75 billion ($2.3 bn), according to estimates by the National Confederation of Trade of Goods, Services and Tourism (CNC). The CNC survey estimates that, last year, R$ 293.11 billion ($52.3 bn) of the R$ 322 billion ($57.5 bn) made available by the government were effectively drawn by Brazilians.

Source: Valor Investe

Government raises $589 mm with auction of 22 airports

The airport auction held on Wednesday (7) attracted interested parties for all 3 blocks and guaranteed the federal government an initial collection of R$ 3.302 billion ($589 mm). According to the Ministry of Infrastructure, the average premium was 3.822%, which represented a collection R$ 3.1 billion ($553 mm) above the minimum set by the notice for the initial contribution value (R$ 186.2 million – $33 mm).

Source: G1 Economia

Small businesses create 70% of jobs in February

The month of February registered a positive balance of formal jobs created in Brazil. There were 401,639 registered vacancies, with micro and small companies accounting for 68.5% of the jobs created in Brazil. This corresponds to a little more than 275,000 jobs created by small businesses. Medium and large companies had a positive balance of just over 101 thousand vacancies in the month.

Source: SP Investe

International brands close operations in Brazil

The president of the Brazilian Retail and Consumer Society, Eduardo Terra, evaluates 2021 as a year of accommodation regarding the entry and exit of international brands in Brazil. “In the franchise segment, nine foreign networks closed their operations in the country last year and large international retailers also left,” he says. “It doesn’t mean Brazil has lost relevance and the same companies cannot return in the future, as has happened in the past.”

Source: Valor International

Unemployment hits record and reaches 14.3 million people

The unemployed population in the country reached 14.272 million people in the mobile quarter ended in January, according to the National Continuous Household Sample Survey (Pnad), a record for the historical series, which began in 2012. Despite the record high in the unemployed population, the unemployment rate stood at 14.2% in the quarter ended in January, which is considered stable compared to the previous quarter (ended in October, 14.3%).

Source: Valor Investe

Government tax burden estimated at 31.64% of GDP in 2020

The Gross Tax Load of the general government is estimated at 31.64% of GDP in 2020, the National Treasury. The figure is 0.87% lower than that observed in 2019, when it stood at 32.51% of GDP. By this estimate, the tax burden last year was the lowest since 2010. According to the Treasury, the drop is explained mainly by the effects of the covid-19 pandemic on economic activity and tax exemptions granted as a result of the health crisis.

Source: UOL Ecomomia

Share of indebted reaches second highest level in 11 years, says CNC

The share of families in debt in March reached the second highest level in 11 years, according to the National Confederation of Trade of Goods, Services and Tourism (CNC), which has just announced the Survey of Consumer Indebtedness and Delinquency (Peic) for the month. In the survey, the share of indebted families stood at 67.3%, up from 66.7% in February, and higher than in March 2020 (66.2%).

Source: Valor Investe

Brazil’s GDP in 2021 should grow below the region’s average, says World Bank

The World Bank reported that the institution’s forecast is that Brazil’s Gross Domestic Product (GDP) will grow by 3% in 2021, below the average forecast for Latin America, of 4.4%. According to the report, neighbouring countries are expected to outperform Brazil, for example: Argentina: 6.4 percent; Chile: 5.5 percent; Colombia: 5 percent.
For the World Bank, Latin America and the Caribbean suffered the greatest damage to the economy and health during the Covid-19 pandemic.

Source: G1 Economia

After $893 mm loss in 2020, fashion chains fall even further

The closure of shops due to the pandemic this month and uncertainties about the reopening of traditional retail are expected to hinder fashion retail in the first half – one of the segments most impacted by the crisis caused by the coronavirus. The demand in this segment have been already affected by the greater restrictions on circulation since February. And online sales, despite the large growth, still represent less than 15% of the annual sales of the big chains.

Source: Valor International

Brazil has stopped exporting $56.2 bn to South America in 10 years

The loss of space in regional trade in the last decade made Brazil stop exporting $56.2 billion to South America in the last ten years. The conclusion is contained in a survey conducted by the National Confederation of Industry (CNI). According to the study, Brazil’s share in imports from other South American countries (Brazilian exports to neighbouring countries) fell from 14.5% in 2010 to 10.7% in 2019.

Source: Money Times