Brasilia – The Brazilian industrial sector is investing less this year. According to a research by the National Confederation of Industries (CNI), released this Tuesday (28), the percentage of companies in the sector that plan on investing dropped from 83% in 2013 to 78.1% this year, the lowest level in the historic series started in 2010. “Expectations are not very favorable. We are below the levels registered in 2010,” said the CNI Economic Policy Unit executive manager, Flávio Castelo Branco.
According to the CNI, this drop in intentions to invest is probably due to the fact that 82.9% of the companies considered the current productive capacity adequate or more than adequate to meet the demand. For Castelo Branco, the government’s concessions program and investments in infrastructure may lead to results above expectations, but he pondered that we must wait to see how these projects will “mature”.
Among the companies that plan on investing, 55.8% intend to give continuity to prior projects and 37.6% will start new projects. The domestic market is the industrial’s sector main target. Of the companies that plan on investing, 79.6% are focused on the Brazilian market and 3.6% will be investing abroad.
*Translated by Silvia Lindsey
