(Reuter Agency) A decade of solid fiscal management has left Brazil with a financial position that is the envy of the United States and most European countries. Its net debt-to-GDP ratio is slightly under 40 percent, and has steadily fallen in recent years.
Part of Brazil's relatively rosy standing can be chalked up to favorable demographics, with a median age of 29.6 years -- compared to 37.1 in the United States and 43.8 in Italy. Brazil may inevitably face the financial perils of a graying population but that's still two or three decades off, most analysts say.
This is an important part in a healthy nation´s economy, basically if government is controlling public expense with fiscal policies and adequate monetary …show more content…
Credit card rates often ran into the triple digits.
Interest rates are now coming down across the board, which should allow for more sustainable consumer spending over time -- plus a broad reallocation of capital away from government bonds and into more productive investments.
A 27 percent decline in Brazil's currency since last August has also made the real seem less overvalued, helping shield industries from a flood of imports.
This means that consumers will spend more and of course they will invest more, generating monetary movement and this will reactivate economy due to flow of capital nationwide and internationally too.
WEAKNESSES
SURPRISINGLY LITTLE TRADE
(Reuter Agency) Brazil is perhaps best known abroad as an exporter of commodities such as iron ore, orange juice, beef and soy. So people are often surprised to learn that Brazil is the most closed major economy in the Western Hemisphere, with trade accounting for just 25 percent of gross domestic …show more content…
A GREAT GEOGRAPHICAL POSITION
(Coast line of Brazil) The coastline of Brazil measures 7,491 km, which makes it the 16th longest national coastline of the world. All the coast lies adjacent to the Atlantic Ocean.
A considerable number of geographical features can be found all through the coastal areas, like islands, reefs and bays. The beaches of Brazil (2095 in total) are famous in the world and receive a great number of tourists.
According to the last part this opportunity offers a lot of advantages, as fishing industry, building of ports and unloading places for mother ships and feeders vessels in order to supply not only Brazil but the whole continent.
THREATS
BRAZIL HAS A SLOWING DOWN ECONOMY AND COUNTRIES FROM REGION ARE ADVANCING