Solar energy grows by 27%

Between January and May of this year, solar energy gained an additional capacity of 1,236 MW. The result represents a 27% growth in the installed capacity compared to last year’s consolidated. The data was released by the Brazilian Association of Photovoltaic Solar Energy (Absolar).

BNDES announces another $940 mm for SME’s

BNDES will expand the credit line for working capital by R$5 billion ($940 mm) for micro, small and medium-sized companies to face the economic effects of the COVID-19 pandemic. According to the bank, the first R$5 billion ($940 mm) credit launched at the beginning of the pandemic has run out.

Central Bank projects 6.4% drop in Brazil’s GDP

The Central Bank maintained its inflation estimate for 2020 in the reference scenario, which uses constant exchange and interest rates for the projection horizon. Accordingly, it revised the GDP projection for a 6.4% drop this year. The change in the projection is essentially associated with the advancement and duration of the pandemic in all national territory.

Petrobras offers up to $1.8 million to finance startups

The Petrobras Connections for Innovation Program, in partnership with Sebrae, offers resources of up to R$10 million ($1.8 million) for projects in nine technological areas: digital technologies, robotics, energy efficiency, catalysts, corrosion, carbon reduction, geological modelling, and water inspection and treatment technologies. The goal is to utilise the innovative products in Petrobras’ operations.

Brazil economy could fall 7%, deficit top 11% of GDP

Brazil’s economic growth and fiscal outlook this year are shaping up to be worse than official government forecasts, making a return to austerity and reforms next year all the more pressing, said Treasury Secretary Mansueto Almeida. He added that the public sector primary deficit this year excluding interest payments could reach R$800 billion ($152 billion), or more than 11% of gross domestic product, while the economy is set to shrink around 6-7%.

Tax reform may guide “green reconstruction” in Brazil

The tax reform, expected to be voted in August, could be a boost for “green recovery” in Brazil. Sustainable economy, clean energy and low carbon emissions have been a new paradigm hunted in some countries that have already surpassed the peak of the new coronavirus. For the coordinator of the environmental front, tax reform is one of the ways to redirect public resources to this change.

Federal Public Debt rises to $800 bn

The cooling of the turbulence caused by the new coronavirus pandemic and the low salaries made the government’s debt rise for the first time in two months. The Federal Public Debt (DPF), which includes the federal government’s internal and external indebtedness, rose 2.17% in nominal terms in May compared to April. The stock rose to R$ 4.251 trillion ($ 800 bn).

IMF projected a 9.1% contraction of Brazil’s GDP

As competitiveness worsens in Argentina, Brazil, Mexico and Colombia, the International Monetary Fund (IMF) has revised down its outlook for economic growth in Latin America’s top economies this year. The IMF now expects Brazil, the region’s top economy, to suffer a 9.1% decline. In April, the fund had predicted a 5.3 % decline.