Brazil:
Economy

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Other pages in this profile of Brazil:
Geography, People, Government, Communications & Transportation, Military & Transnational Issues.


Economy - overview	Definition Characterized by large and well-developed agricultural, mining, manufacturing, and service sectors, Brazil's economy outweighs that of all other South American countries and is expanding its presence in world markets. Having weathered 2001-03 financial turmoil, capital inflows are regaining strength and the currency has resumed appreciating. The appreciation has slowed export volume growth, but since 2004, Brazil's growth has yielded increases in employment and real wages. The resilience in the economy stems from commodity-driven current account surpluses, and sound macroeconomic policies that have bolstered international reserves to historically high levels, reduced public debt, and allowed a significant decline in real interest rates. A floating exchange rate, an inflation-targeting regime, and a tight fiscal policy are the three pillars of the economic program. From 2003 to 2007, Brazil ran record trade surpluses and recorded its first current account surpluses since 1992. Productivity gains coupled with high commodity prices contributed to the surge in exports. Brazil improved its debt profile in 2006 by shifting its debt burden toward real denominated and domestically held instruments. LULA DA SILVA restated his commitment to fiscal responsibility by maintaining the country's primary surplus during the 2006 election. Following his second inauguration, LULA DA SILVA announced a package of further economic reforms to reduce taxes and increase investment in infrastructure. The government's goal of achieving strong growth while reducing the debt burden is likely to create inflationary pressures.
GDP (purchasing power parity)	Definition - World rank and map $1.836 trillion (2007 est.)
GDP (official exchange rate)	Definition $1.314 trillion (2007 est.)
GDP - real growth rate	Definition - World rank and map 5.4% (2007 est.)
GDP - per capita	Definition - World rank and map $9,700 (2007 est.)
GDP - composition by sector	Definition agriculture: 5.5% industry: 28.7% services: 65.8% (2007 est.)
Labor force	Definition 99.47 million (2007 est.)
Labor force - by occupation	Definition agriculture: 20% industry: 14% services: 66% (2003 est.)
Unemployment rate	Definition - World rank and map 9.3% (2007 est.)
Population below poverty line	Definition 31% (2005)
Household income or consumption by percentage share	Definition lowest 10%: 0.9% highest 10%: 44.8% (2004)
Distribution of family income - Gini index	Definition - World rank and map 56.7 (2005)
Inflation rate (consumer prices)	Definition - World rank and map 3.6% (2007 est.)
Investment (gross fixed)	Definition - World rank and map 17.6% of GDP (2007 est.)
Budget	Definition revenues: $244 billion expenditures: $219.9 billion (FY07)
Public debt	Definition - World rank and map 45.1% of GDP (2007 est.)
Agriculture - products	Definition coffee, soybeans, wheat, rice, corn, sugarcane, cocoa, citrus; beef
Industries	Definition textiles, shoes, chemicals, cement, lumber, iron ore, tin, steel, aircraft, motor vehicles and parts, other machinery and equipment
Industrial production growth rate	Definition - World rank and map 4.9% (2007 est.)
Electricity - production	Definition - World rank and map 396.4 billion kWh (2005)
Electricity - consumption	Definition - World rank and map 368.5 billion kWh (2005)
Electricity - consumption per capita	Definition - World rank and map 1,920.2 kWh (2005)
Electricity - exports	Definition 160 million kWh (2005)
Electricity - imports	Definition 39.2 billion kWh; note - supplied by Paraguay (2005)
Oil - production	Definition - World rank and map 1.59 million bbl/day (2006 est.)
Oil - consumption	Definition - World rank and map 2.1 million bbl/day (2006 est.)
Oil - consumption per 1,000 people	Definition - World rank and map 10.9 bbl/day (2006 est.)
Oil - exports	Definition - World rank and map 278,400 bbl/day (2005)
Oil - imports	Definition - World rank and map 674,500 bbl/day (2004)
Oil - proved reserves	Definition - World rank and map 13.9 billion bbl (2007 est.)
Natural gas - production	Definition - World rank and map 9.37 billion cu m (2005 est.)
Natural gas - consumption	Definition - World rank and map 17.85 billion cu m (2005 est.)
Natural gas - consumption per capita	Definition - World rank and map 93 cu m (2005 est.)
Natural gas - exports	Definition - World rank and map 0 cu m (2005 est.)
Natural gas - imports	Definition - World rank and map 8.478 billion cu m (2005)
Natural gas - proved reserves	Definition - World rank and map 312.7 billion cu m (1 January 2006 est.)
Current account balance	Definition - World rank and map $3.555 billion (2007 est.)
Exports	Definition - World rank and map $160.6 billion f.o.b. (2007 est.)
Exports - commodities	Definition transport equipment, iron ore, soybeans, footwear, coffee, autos
Exports - partners	Definition US 14.2%, China 9.2%, Argentina 8.3%, Germany 4.4%, Netherlands 4.3% (2006)
Imports	Definition - World rank and map $120.6 billion f.o.b. (2007 est.)
Imports - commodities	Definition machinery, electrical and transport equipment, chemical products, oil, automotive parts, electronics
Imports - partners	Definition US 20%, China 8.9%, Argentina 8.1%, Germany 7.6% (2006)
Reserves of foreign exchange and gold	Definition - World rank and map $180.3 billion (31 December 2007)
Debt - external	Definition - World rank and map $223.9 billion (31 December 2007)
Stock of direct foreign investment - at home	Definition $249 billion (2007 est.)
Stock of direct foreign investment - abroad	Definition $107 billion (2007 est.)
Market value of publicly traded shares	Definition $711.1 billion (2006)
Economic aid - recipient	Definition $191.9 million (2005)
Currency (code)	Definition real (BRL)
Exchange rates	Definition reals per US dollar - 1.85 (2007 est.), 2.1761 (2006), 2.4344 (2005), 2.9251 (2004), 3.0771 (2003)
Fiscal year	Definition calendar year

Brazil: Economy

Brazil:
Economy