Although last year was less satisfactory from the perspective of many economists, most Brazilian business leaders expect 2020 to be a positive year for their companies, according to a recent survey.

After two years of severe recession between 2015 and 2016, the Brazilian economy has been recovering moderately. With the election of President Jair Bolsonaro, economists initially predicted significant GDP growth and increased foreign investments. However, recent political and economic challenges have tempered these expectations.

Fitch Ratings cited political instability, corruption, and difficulties in implementing fiscal reforms as key obstacles. This led to a downward revision of GDP growth expectations for 2019, eventually registering a modest 1.1% growth, similar to the previous year.

Survey: 2020 Will Be a Positive Year

A survey conducted by Deloitte revealed that seven out of ten Brazilian business leaders are optimistic about 2020. The survey included 1,377 companies, representing R$ 3.5 trillion in annual revenue, equivalent to half of Brazil’s GDP.

Key findings include:

• 72% of respondents plan to maintain their workforce.
• 58% intend to increase the number of employees.

Altair Rossato, CEO of Deloitte Brazil, attributed the optimism to positive GDP growth of 0.6% in Q3 2019, reflecting gradual economic improvement.

“The third-quarter GDP results align with business leaders’ positive expectations, as they see signs of improvement day by day,” said Rossato in an interview with Exame.com.br.

Priority Actions for Brazil’s Economy

Survey participants identified key priorities for economic growth:

• 79% emphasized job creation.
• 57% highlighted the need for infrastructure investments (railways, highways, waterways, and ports).
• 54% supported expanding Brazil’s participation in foreign trade.
• 52% called for more concessions and auctions.

Investments in these areas are critical to boosting Brazil’s economic potential and competitiveness in the global market.