Brazil06 Aug 2014
The eyes of the world are on Brazil. At the time of writing, it is in the headlines for having staged a spectacular football World Cup, and to follow, in 2016 Brazil will host the biggest sporting jamboree of all, the Olympic Games.
The success of these events and the feelgood effect they create, at least while they are taking place, mean that the country and its economy can bask in the reflected glory of sporting achievements, which will divert attention from a rather less attractive reality.
Brazil is one of the original BRIC group of newly advanced economies tipped − with Russia, India and China – to become the new global drivers that would soon catch, if not overtake, the established developed nations. And, as with its fellow BRICs, Brazil did not suffer as much as the developed economies from the juddering financial crisis of 2008-09. However, growth in all the BRICs has recently slowed, not least in Brazil, which has been particularly affected by the fall in demand for commodities from China as its growth rate has cooled.
This Country Survey aims to provide a balanced assessment of the asset and auto finance market in Brazil. The survey covers the following areas:
- A summary of asset finance and leasing activity;
- The current economic and business climate and forecasts for 2014;
- Insights on the current state of the market, its outlook and the challenges and opportunities that face it − provided by a selection of key industry figures;
- The latest developments regarding taxation on leasing; and
- How proposals for changes to international accounting standards are likely to affect leasing in Brazil.