Why is the Brazilian economy hitting the headlines?
There has been excitement in the world’s press regarding the current economic climate in Brazil for a number of reasons. Firstly, due to the recently published report from the respected investment bank Goldman Sachs on up-and-coming global economies. This report highlights Brazil as one of the four largest developing economies in the world (along with Russia, India and China – hence the term “BRIC” nations) and predicts that Brazil will have the fifth largest economy in the world by the year 2050 (it is currently the world’s 9th largest economy). Secondly, the country’s impressive natural resources mean that by 2015 it will be a major oil exporter. Finally, the country is enjoying its most stable economic period for decades, thanks to strict inflation control, the reduction of external debt and strong foreign direct investment into both Brazilian equity funds and property. This last factor has particularly created a buzz in the world’s media, which is watching Brazil’s real estate sect
