Brazil is the world’s 8th largest economy
Here are a few key facts about the economy of Brazil:
– 8th largest by nominal GDP and 7th by purchasing power parity. It has been growing rapidly (+7.6 % in 2010) and is expected to climb up towards the very top of the world economies (BRIC estimates by Goldman Sachs). Compared to the other BRICs, the Brazilian economy is quite likely the least known in Finland; in the shadow of China, India and Russia. This is why we have noticed the importance of learning more about Brazil.
– At a GDP of approximately $2 trillion, the economy is more than 10 times larger than Finland, but GDP per capita is still only approximately $11,5 k PPP (2009). The society is also remarkably unequal with 15,5 % of the population living under the poverty line (Gini Coefficient 55 according to the UNDP).
– The Brazilian Real (BRL, R$) has appreciated approximately 50 % against the Euro since 1.1.2009. 1 BRL = 0.45 EUR.
– The largest sector is services (66.8 %) with industry following up at 29.7 %. About 3.5 % is still agriculture.
– Largest companies include Petrobras (oil & gas), Vale (mining), Banco Bradesco, Banco do Brazil, Banco Itaú and Unibanco (banking), Eletrobras (utilities), Usiminas (materials), Oi (telecom services) and Gerdau (steel).
– The largest portion of international trade is done with other members of the MERCOSUR (customs union with Argentina, Brazil, Paraguay and Uruguay), but China and USA are the most significant individual trading partners.
– Especially sugar and gold have played a significant part in the economy of Brazil in the past. Since the late 1800’s, the country has been the world’s largest coffee producer.