São Paulo – International organizations gave an optimistic assessment of economic, social and political-institutional aspects of Brazil. This is what the new qualitative indicator of the Applied Economic Research Institute (Ipea) has shown in its Monitor of Brazil’s International Perception survey, disclosed today (19th) in São Paulo.
A total of 170 organizations were surveyed. Of those that answered, 29% claimed that they believe economic growth should surpass 6% in the coming 12 months, whereas 59% are betting that the country’s Gross Domestic Product (GDP) should increase by a rate of between 3.6% and 6%.
The assessment, which will be repeated every three months, includes 15 questions that were made to embassies, consulates, chambers of commerce, international organizations and foreign-controlled enterprises.
The survey covers three thematic indicators on scales that range from -100 (very pessimistic) to +100 (very optimistic). For the three aspects evaluated in July, the results point to a moderately optimistic or favourable assessment of Brazil. The first survey was held in January, enabling a comparison with last month’s perceptions.
According to the Ipea’s president, Marcio Pochmann, this new indicator is going to measure the positioning of relevant players that operate with an international perspective. The fact that Brazilian is opening itself up to international trade has contributed for the Ipea to develop the evaluation.
In the economic field, aside from the GDP, the international players were questioned regarding the inflation rate; general credit conditions in terms of volume, deadlines and interest rates; the population’s levels of access to consumer goods; the position of Brazil in the foreign investment ranking over the next 12 months; and the quality of the transport, communication and energy infrastructures.
According to the Ipea’s planning and research technician, André Pineli, Brazil is an interesting target for foreign investment; therefore, further actual indicators of domestic economy and of social and political aspects are required, in order to enable foreign enterprises to measure whether the country is attractive or not.
In the political-institutional front, the survey points to a perceived increase of the Brazilian influence in Latin America and in multilateral institutions, such as the United Nations (UN) and the International Monetary Fund (IMF). In the social sphere, the perception of international players points to a trend of moderate reduction of poverty and income inequality. The negative aspect was a perceived increase in the country’s level of violence.
The questionnaires were filled in on the internet with guaranteed anonymity, in such a way that even the Ipea is unable to determine the author of each questionnaire. The next survey will be held in October.
*Translated by Gabriel Pomerancblum
