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F ew
economies have grown as much as the Brazilian economy
The consolidation of the currency stability and the deepening of a
series of structural changes - such as the economy opening, state
reform , monopoly suppression and a wide
set of deregulations, etc., - have allowed the Brazilian economy to
assure its dynamics and its growth path on a
supportable basis.
And the international community has taken a chance precisely on this
process enhancement. There are increasing direct external
investments in the Brazilian economy as well as the input of
capitals via long-term loans.
Actually, transnational companies have been investing in Brazil
since long ago. There are hundreds of companies legally established
in the Country for many decades. Just to name a few, among a huge
number of them: Alcatel, Asea-Brown Boveri, Basf, BAT, Bayer,
Ciba-Geigy, Chase Manhatan Bank, Citicorp, Cr?it Lyonnais, Du Pont,
Dow Chemical, Ericsson, Exxon, Fiat, Ford, Fuji, General Electric,
General Motors, Glaxo, Goodyear, Hoescht, IBM, Ishikawajima-Harima,
Kodak, Lloyds Bank, Marubeni, NEC, Nestl? Parmalat, Philips, Rh?e
Poulenc, Robert Bosch, Shell, Sony, Toyota, Volkswagen, Volvo, White
Martins and Xerox.
Brazil relies on major comparative advantages:
- A huge territorial extent, with plenty of natural resources,
some of them entirely unexploited to date.
- An enormous population with a dynamic and fast growing
internal consumer marketplace, such a trend being boosted by the
income proceeds resulting from the sharp drop in the inflation
rate.
- An economic integration within Mercosul -- the free-trade zone
initially made up of Brazil, Argentina, Uruguay and Paraguay --
with the corresponding expansion of marketplaces and business
opportunities.
- A deep-rooted, dynamic, and profitable capitalist economy with
availability of skilled human resources, including on a management
level.
- A relevant presence of foreign capital, particularly on the
industrial structure where it accounts for 30% of the production.
- A well-developed industrial center, with a diversified export
agenda which comprises from mineral ores and orange juice to
highly value-added manufactured products such as cars, airplanes,
ships and capital goods.
- Diversified export marketplaces.
- A modern and integrated agriculture presenting one of the
world's largest crops of around 80 million tons.
- Stability of the democratic political institutions
.
Source:
Brazilian Development Bank - BNDES
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