Anglo American Minas-Rio Project Update
BRAZIL: ECONOMIC AND POLITICAL SCENARIO
A challenging set-up in spite of favourable conditions
Selected indicators1 - - %
Brazil
OECD
Modest growth due to tighter monetary and
fiscal policies, weak external demand, low
levels of investment and infrastructure
bottlenecks;
Brazilian environment
GDP Growth
10
5
Inflation
10
6,5%
1,8% 2,3% 2,6%
5,4% 5,1%
5
1,8% 1,6% 1,9%
•
1,4%
0,3% -0,7%
-5
0
2010 11 12 13
14 15 2016
2010 11 12
13
14 15 2016
Unemployment rate
Fiscal balance
10
7,3% 7,0% 6,8%
5
0
-3,9% -3,4%-
5
4,7% 5,1% 5,4%
0
-5
-10
-3,9% -3,1% -3,0%
2010 11 12
13
14 15 2016
2010 11
12
13 14 15 2016
Gross public debt currently at R$ 1,38 trillion
-25% of GDP
Sources: Datafolha Survey - March 18th, 2015
Democracy
Quality, but scarce workforce
Abundant mineral resources
•
Public demonstrations
Low government approval
Corruption scandals
•
Energy crisis
Water shortage
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