Insight
Brazil's mounting debt: what are the risks?
This report is currently unavailable
Report summary
The fiscal position of the Brazilian government has deteriorated rapidly over the past year, and is likely to get worse before it gets better. This will drag on the economy, even if a sovereign default is avoided. The debt dynamics of many corporates are even worse; high levels of US dollar denominated debt and a tumbling currency are straining corporate balance sheets. Fiscal retrenchment, corporate defaults and job losses will be a drag on the economy in the short to medium term, while faltering public and private investment will have long lasting repercussions for growth.
Table of contents
- Executive summary
-
Brazil's bleak fiscal outlook
- Inflation and currency depreciation accelerate
- Corporate sector debt is a major concern
- Conclusion
Tables and charts
This report includes 9 images and tables including:
- Brazilian government balance
- Government debt
- Currency tumbles; inflation soars
- Borrowing costs have risen sharply
- Public investment into transport infrastructure
- Share of debt denominated in foreign currencies
- Barclays Brazilian corporate bond index - yield
- Petrobras debt and gearing
- Petrobras net-debt outlook
What's included
This report contains:
Other reports you may be interested in
Insight
China economic focus March 2024: how to achieve the 5% growth target?
Equipment and auto renewal and exports could pose upside surprises for the Chinese economy in 2024.
$950
Insight
Will December’s bid rounds revitalise Brazil’s exploration?
On 13 December, the Brazilian government will auction blocks under PSC and concession regimes.
$1,350
Insight
What are the key issues in Argentina’s oil and gas sector?
A second round for presidential election in Argentina will occur on November 19th, 2023. Vaca Muerta's development needs economic stability.
$1,350