Brazil Property Investment - Even More Bullish
The latest issue of Global Economic Weekly published on 2nd October by Bank of America Merrill Lynch (BofAML) is certainly bullish. In it, BofAML has bumped its forecast for Brazils GDP growth next year up to 5.3% from 4.5%. This 0.8% hike comes on the back of Brazils strong GDP growth in Q2 (1.9% " well ahead of the meagre 0.3% in Germany and France), continual monthly increases in consumer spending and rising industrial output. Brazil has also just been awarded the 2016 Olympics, which will come hard on the heels of the 2014 World cup, guaranteeing Brazil a prime spot in the international limelight for years.
The BofAML three-page report is full of glowing statistics from the Brazilian economy and it paints an equally glowing outlook. According to BofAML, a brighter outlook for the global economy and a faster recovery of labor conditions have prompted us to revise our 2010 growth forecast to 5.3% from 4.5%.
The report highlights Brazils economic rebound in industrial production, retail sales, formal job creation and credit growth. BofAML predicts 2.2% GDP growth for Q3 this year with 1.8% growth for the final quarter.
But the aspect of the Brazilian economy that most impresses BofAML is the sharp recovery of labor conditions. Seasonally adjusted unemployment in Brazil is now 7.9%, the same level as November last year and job creation in August was 176,000, similar to the pre-recession rate. According to BofAML, the current level of employment and job creation means consumers in Brazil are at a very solid stance.
The report goes on to say that it expects inflation to remain contained and drop below 4% by the second quarter next year and that the Central Bank of Brazil is likely to maintain interest rates at their current level of 8.75%. BofAML concludes that there is no evident overheating of domestic demand.
The BofAML report presents a series of key economic forecasts for Brazil including GDP growth, industrial output and consumer spending (private consumption). The list of figures makes bullish reading. BofAML predicts 5.3% growth for Brazil in 2010 with 4.5% in 2011. Industrial output in Brazil is expected to rise by 10.7% next year with consumer spending growing by almost 5%.
This bullish optimism " based on rock-hard facts " about Brazil adds further weight to Brazil as a property investment destination. The list of reasons why Brazil real estate is currently one of the best buys anywhere is getting longer and longer. Or as BofAML would have it, property investment in Brazil is turning even more bullish.
For more information on overseas property investment and to find out about Obelisk's latest projects, contact Obelisk on (+34) 952 820 319.
Obelisk also produces its Absolute Guide Series which contains the most recent investment information on 30 of the worlds top emerging markets. They can be downloaded free of charge at http://www.absoluteguideseries.com.
Email: info@obeliskinternational.com or visit our website: http://www.obeliskinvestmentproperty.com.
Brazil Property Investment - Even More Bullish
***Note This page is an Archieve of Publicly released information either through our company or another Press Release organization. We do not "fact check", "Support", nor "Dispute" any of the information provided to us. We are a distribution point and Historical press release research and search service. This information only represents the fact that at one point in time the release was distributed to 1000's of publications both online and off. PRNewsNow will not take sides in any personal or commercial disputes you have with the writer of this press release. We will defend its right to exist blindly and without regards to its political, commercial or personal implications.***
